In July, Private Savings Reach 158.63 Bln RON

Savings of Romanian individuals and companies reached 158.63 billion RON at the end of July, up by 0.4% from the previous month, according to information released by the National Bank of Romania (BNR). In June, the overall value of bank deposits had grown 1.7% from May.

Bank deposits denominated in the national currency decreased by 0.3% in July from the end of June to 101.46 billion RON, while savings denominated in foreign exchange gained 1.5% in RON-equivalent to 57.17 billion RON and gained 1.4% in EUR-equivalent to 13.57 billion EUR.

RON-denominated deposits made by individuals slightly increased to 60.1 billion in July, whereas deposits made by companies decreased by 0.8% to nearly 41.36 billion RON at the end of July.

Forex-denominated deposits made by individuals increased by 19.6% in RON-equivalent and by 0.4% in forex, while forex-denominated deposits made by companies (non-financial companies and non-monetary financial institutions) gained 18.3% in RON-equivalent and decreased by 0.6% in forex.

Compared to July 2008, RON-denominated deposits made by individuals gained 20.5% (14.7% in real terms), while business deposits decreased by 2.6% (-7.3% in real terms).

The non-governmental credit balance decreased by 0.1% in July.

The overall value of loans given to businesses and individuals decreased by 0.1% in July 2009 from the previous month to 197.9 billion RON. RON-denominated loans decreased by 1.2%, while forex-denominated loans gained 0.7% in RON-equivalent, according to the National Bank of Romania.

Non-governmental loans gained 10.8% (5.4% in real terms) from July 2008 amid an increase by 22% in forex-denominated loans calculated as RON-equivalent and a 2.5% decrease (-7.2% in real terms) in RON-denominated loans.

Governmental loans reached 44.98 billion RON at the end of July 2009, up by 300.8% (281.5% in real terms) from July 2008 and up by 22.4% from June 2009.

The overall monetary mass (M3) reached 181.38 billion RON at the end of July 2009, up by 0.6% (0.7% in real terms) from June 2009 and up by 12.5% from July 2008 (7% in real terms). M3 is the sum of the liquid monetary mass (M1 = circulating cash and overnight deposits) and the intermediate monetary mass (M2 = M1 plus deposits for up to two years) as well as other financial instruments (loans from repo operations, shares / investment units of the funds on the monetary market, securities maturing in up to two years).

The intermediate monetary mass (M2) amounted to 180.37 billion RON at the end of July 2009, up by 0.5% from June 2009 and up by 11.9% from July 2008.

The limited monetary mass (M1) decreased by 0.3 percentage points from June 2009 and by 9.7% from the corresponding period of 2008, reaching 81.45 billion RON.