August 31, 2018 at 08:10 pm
Julito G. Rada
DOMESTIC liquidity, or the money supply circulating in the financial system, rose 11 percent in July to about P11.1 trillion year-on-year, slower than the revised 11.8-percent expansion a month ago, the Bangko Sentral ng Pilipinas said Friday.
The regulator said in a statement the overall growth of domestic liquidity, also called “M3,” remained in line with its prevailing outlook for inflation and economic activity.
“The BSP will continue to closely monitor domestic liquidity dynamics to ensure that monetary conditions remain conducive to maintaining price and financial stability,” it said.
Data showed domestic claims grew 16.1 percent in July, unchanged from the growth in the previous month. Loans for production activities continued to be driven by lending to different key sectors, such as wholesale and retail trade, repair of motor vehicles and motorcycles; financial and insurance activities; real estate; manufacturing; electricity, gas, steam and air-conditioning supply; and construction.