The Central Bank of the Philippines released preliminary December data showing domestic liquidity (M3) grew by 7.7% year on year to PHP 18.8 trillion, unchanged from the previous month. On a seasonally adjusted month-on-month basis, M3 edged up by 0.2%. Domestic claims rose by 10.4% year on year (from 10.8% in November), with claims on the private sector accelerating to 12.2% (from 11.7%) amid continued growth in bank lending to non-financial private corporations and households. Net claims on the central government expanded by 7.2% (from 9.2%), attributed to higher borrowings by the National Government. Net foreign assets in peso terms increased by 6.0% (from 9.8%), with the central bank’s net foreign assets up 6.8% as gross international reserves rose versus a year earlier, while banks’ net foreign assets declined due to higher bills and bonds payable. The central bank indicated it will continue to manage domestic liquidity conditions in line with the prevailing monetary policy stance and its price and financial stability objectives.
Central Bank of the Philippines 2025-02-11
Central Bank of the Philippines reports December M3 growth steady at 7.7% to PHP 18.8 trillion
The Central Bank of the Philippines reported that domestic liquidity (M3) grew by 7.7% year on year to PHP 18.8 trillion in December, with a 0.2% month-on-month increase. Domestic claims rose by 10.4%, driven by private sector lending, while net foreign assets increased by 6.0%. The central bank will maintain its management of liquidity conditions to align with monetary policy and stability goals.