Domestic liquidity, or the money supply circulating in the financial system, rose 8.4 percent year-on-year to about ₱11.3 trillion in November 2018, the Bangko Sentral ng Pilipinas said Tuesday.
The increase was slightly faster than the revised 8.3-percent expansion in the previous month. M3 increased 0.5 percent on a month-on-month seasonally-adjusted basis.
“Demand for credit remained the principal driver of money supply growth. Domestic claims grew by 14.6 percent in November 2018 from 15.2 percent in October due mainly to the sustained growth in credit to the private sector,” the Bangko Sentral said.
“Loans for production activities continued to be driven by lending to key sectors such as wholesale and retail trade, repair of motor vehicles and motorcycles; financial and insurance activities; real estate activities; manufacturing; electricity, gas, steam and air-conditioning supply; and construction,” it said.