The Hong Kong Monetary Authority released monetary statistics for January 2025 showing total deposits with authorized institutions rose by 1.4%, while total loans and advances fell by 0.2%. The Hong Kong dollar loan-to-deposit ratio declined to 75.7% at end-January from 77.1% at end-December, reflecting higher Hong Kong dollar deposits alongside lower Hong Kong dollar loans. Within deposits, Hong Kong dollar deposits increased by 1.3% and foreign currency deposits by 1.5%. Renminbi deposits in Hong Kong rose by 6.5% to RMB 986.8 billion, mainly reflecting corporate fund flows, while renminbi remittances for cross-border trade settlement totalled RMB 1,377.4 billion (December: RMB 1,401.6 billion). Loans for use in Hong Kong (including trade finance) decreased by 0.5% and loans for use outside Hong Kong increased by 0.6%. Hong Kong dollar M2 and M3 each increased by 1.5% in the month (up 4.5% year on year), seasonally adjusted Hong Kong dollar M1 fell by 3.0% (up 1.8% year on year), and total M2 and M3 each rose by 1.6% (up 9.6% year on year). The HKMA cautioned that monthly figures can be volatile due to transient factors such as seasonal and IPO-related funding demand and business and investment-related activity.
Hong Kong Monetary Authority 2025-02-28
Hong Kong Monetary Authority publishes January 2025 monetary statistics showing deposits up 1.4% and loans down 0.2%
The Hong Kong Monetary Authority reported a 1.4% increase in total deposits and a 0.2% decrease in total loans and advances for January 2025. The Hong Kong dollar loan-to-deposit ratio fell to 75.7% from 77.1% in December, driven by higher deposits and lower loans. Renminbi deposits rose by 6.5% to RMB 986.8 billion, while the HKMA noted that monthly figures can be volatile due to transient factors.