Resident, non-resident deposits going different directions in October

According to statistics released yesterday by the Monetary Authority of Macao (AMCM), deposits to the banking sector made by residents increased 2.1 percent month-to-month to MOP502.8 billion in October.

Nevertheless, total deposits decreased led by non-resident deposits, which dropped 4.2 percent to MOP264.9 billion. The fall was emulated by public sector deposits, with the banking sector registering a decrease of 2 percent to MOP157 billion.

As a result, total deposits into the banking sector decreased 0.5 percent from a month earlier to a total of MOP924.7 billion.

The majority of deposits continue to be denominated in HKD (47.5 percent) followed by USD (22.8 percent).

As for loans, domestic loans to the private sector increased slightly by 0.3 percent month-to-month to MOP413.9 billion. HKD-denominated loans continued to top the currency shares with a total of MOP268.5 billion (64.9 percent). MOP-denominated was the second most popular with less than half of the amount of credit granted in HKD (MOP122.3 billion).

As total loans increased whereas total deposits decreased, the overall loan-to-deposit ratio of the banking sector rose from a month ago. Concurrently, the non-performing loan ratio, an indicator for bank asset quality, remained virtually unchanged. RM