Hong Kong Monetary Authority: The Hong Kong dollar money supply M2 and M3 both rose by 1.1% in May.

On June 30, the Hong Kong Monetary Authority released the monetary statistics for May 2026, showing that the total deposits of authorized institutions increased by 2.3% in May 2026, with Hong Kong dollar deposits and foreign currency deposits increasing by 1.2% and 3.2% respectively, mainly reflecting corporate fund flows. From the beginning of the year to the end of May, total deposits and Hong Kong dollar deposits increased by 4.8% and 4.4% respectively. Renminbi deposits in Hong Kong increased by 5.3% in May, reaching 1,134.7 billion Renminbi by the end of May, mainly reflecting corporate fund flows. The total amount of Renminbi remittances for cross-border trade settlement in May was 1,129.6 billion Renminbi, compared to 1,214.6 billion Renminbi in April. Deposit movements are influenced by various factors, including interest rate trends and market fundraising activities, so it is appropriate to observe long-term trends without overinterpreting fluctuations in individual months. The total amount of loans and advances increased by 1.4% in May, and by 5.0% from the beginning of the year to the end of May. Both loans used in Hong Kong (including trade financing) and loans used outside of Hong Kong increased by 1.4% in May. Due to the larger increase in Hong Kong dollar deposits compared to Hong Kong dollar loans, the Hong Kong dollar loan-to-deposit ratio decreased from 71.6% at the end of April to 71.0% at the end of May. In May, the Hong Kong dollar money supply M2 and M3 both increased by 1.1%, compared to the same period last year, increasing by 1.1% and 1.0% respectively. Seasonally adjusted Hong Kong dollar money supply M1 decreased by 0.6% in May, but increased by 2.0% compared to the same period last year, partly reflecting investment-related activities. The total money supply M2 and M3 both increased by 2.4% in May, with M2 and M3 increasing by 9.9% and 9.8% respectively compared to the same period last year.