The Strategist

New bank lending volume in China in April hits lowest in 9 months

05/13/2024 - 14:51

A report by the People's Bank of China states that the amount of new bank lending in local currency in China in April was 731 billion yuan ($101 billion).

faungg's photos
faungg's photos
This has been the minimum amount for nine months, since July 2023. The total amount of credit in March was 3.09 trillion yuan.

Trading Economics’ analysts expected a drop to 1.2 trillion yuan last month on average.

The PBC reports that new bank lending from January to April came to 10.19 trillion yuan.

In April, there was a total of 200 billion yuan in negative new funding, which included bank loans, off-balance sheet loans, and stock and bond sales. It was the first time the figure was below zero since January 2002.

The M2 money supply, which includes all deposits and cash, increased 7.2% annually to 301.19 trillion yuan.

With demand deposits and total cash in circulation, the M1 money supply decreased 1.4% to ¥66.01 trillion.

As of the end of April, there were 291.59 trillion yuan worth of outstanding bank loans in Chinese currency, an increase of 6.6% over the same period last year, according to the Xinhua news agency.