Domestic liquidity expands 8.4% in November 2018

The country’s money supply continued to expand in November given the growth in lending during the period, data released by the Bangko Sentral ng Pilipinas (BSP) on Tuesday showed.

According to central bank data, domestic liquidity or M3—the broadest measure of money in the financial system—expanded by 8.4 percent to P11.3 trillion in November.

“Demand for credit remained the principal driver of money supply growth,” BSP said in a statement accompanying the data.

Loans for production activities were driven by lending to key sectors such as wholesale and retail trade, repair of motor vehicles and motorcycles, and financial and insurance activities.

Other sectors include real estate; manufacturing; electricity, gas, steam, and air conditioning supply; and construction.

“The BSP will continue to closely monitor domestic liquidity dynamics to ensure that overall monetary conditions remain in line with maintaining price and financial stability,” the central bank said. —Jon Viktor Cabuenas/VDS, GMA News