Monetary aggregates
May 2024
As of June 1, 2024 the ruble money supply (M2) amounted to 102.5 trillion rubles, which is slightly higher than estimation published earlier (by 0.2 trillion rubles). In May, the monetary aggregate M2 decreased by 0.6%, and its annual growth rate decreased to 18.9% (in April — 21.8%). The annual growth rate of broad money M2X (adjusted for foreign currency revaluation) also slowed down and amounted to 16.4% (in April — 18.3%).
The reduction of monetary aggregates in May 2024 should be considered in conjunction with a significant increase of the money supply in April 2024, caused by the shift of tax payments for April to May 2, 2024 (2.5 trillion rubles, according to data of the Ministry of Finance)
| Growth rate, % | |||||||
|---|---|---|---|---|---|---|---|
| Annual | Monthly |
From the beginning of the year |
|||||
|
01.06.2024 trln rubles |
01.05.2024 | 01.06.2024 | 01.05.2024 | 01.06.2024 | 01.05.2024 | 01.06.2024 | |
| Monetary aggregate M0 | 16.8 | 3.1 | 1.6 | 0.7 | 0.1 | -2.3 | -2.2 |
| Monetary aggregate M1 | 50.0 | 9.5 | 5.2 | 1.6 | -0.3 | 0.9 | 0.6 |
| Monetary aggregate M2 | 102.5 | 21.8 | 18.9 | 3.5 | -0.6 | 4.8 | 4.2 |
|
Monetary aggregate M2X (broad money) |
117.0 | 20.2 | 17.9 | 3.1 | -0.5 | 4.5 | 4.0 |
|
Monetary aggregate M2X* (broad money) |
18.3 | 16.4 | 3.1 | -0.3 | 4.3 | 4.0 | |
Annual growth rate of monetary aggregates, %
* adjusted for foreign currency revaluation.
Counterparts of the broad money
| Growth for the period, trln rubles* | |||||||
|---|---|---|---|---|---|---|---|
| Annual | Monthly |
From the beginning of the year |
|||||
|
01.06.2024 trln rubles |
01.05.2024 | 01.06.2024 | 01.05.2024 | 01.06.2024 | 01.05.2024 | 01.06.2024 | |
| Claims on organisations | 94.9 | 17.3 | 17.8 | 1.6 | 2.1 | 4.4 | 6.4 |
| Claims on households | 37.9 | 6.9 | 7.0 | 0.6 | 0.7 | 1.7 | 2.4 |
| Net claims on general government | -6.3 | 3.4 | 0.0 | 2.1 | -2.6 | 0.9 | -1.7 |
| Bank of Russia net foreign assets | 51.2 | -2.4 | -1.5 | -0.3 | 0.1 | -1.8 | -1.7 |
| Credit institutions net foreign assets | 7.6 | -2.0 | -2.0 | -0.1 | -0.1 | -0.1 | -0.2 |
* adjusted for foreign currency revaluation.
Contribution of the M2X counterparts to the annual growth rate of M2X, p.p.
* adjusted for foreign currency revaluation.
Federal budget deficit/surplus and net claims on general government, bln rubles
Money supply includes cash and non-cash funds of residents of the Russian Federation. To describe the dynamics of the money supply are used various indicators of monetary aggregates, which differ in the degree of liquidity. The most liquid is the monetary aggregate M0 — cash in circulation. The widest aggregate is the broad money.
| M0 | Cash in circulation | Banknotes and coins in circulation less currency holdings (cash vaults) in the Bank of Russia and credit institutions. |
| + | Transferable deposits in rubles | Settlement, current and other demand accounts (including card payment accounts) of the Russian Federation residents (organisations and households) opened with the banking system in national currency. |
| M1 | M0 + transferable deposits in rubles | |
| + | Other deposits in rubles | Time deposits and other funds of the Russian Federation residents (organisations and households) in national currency, as well as all accrued interest on deposit operations of the Russian Federation residents (organizations and households) in the banking system. |
| M2 | M1 + other deposits in rubles | |
| + | Deposits in foreign currency | Settlement, current and other demand accounts, as well as time deposits and other funds in foreign currency and precious metals and all accrued interest on deposit operations of the Russian Federation residents (organizations and households) in foreign currency. |
| Debt securities | Certificates of deposit and savings certificates issued by credit institutions. | |
| M2X (broad money) | M2 + deposits in foreign currency + debt securities |
Counterparts of the broad money
|
Banking system claims on economy |
Depository corporations lending to households and corporations is accompanied by an increase of banks claims on these sectors and simultaneous growth of money supply through the rise of account balances and deposits of debtors. |
|
Net claims on general government |
Net claims on general government describes the impact of the budget system on money supply dynamics. The expenditure of budget funds and transfer of funds from government accounts to recipient corporations or households reduce funds on government accounts (increases net claims on general government) and rise accounts and deposits of credit recipients, thereby increasing the money supply. On the contrary, taxes and other payments to the budget system reduce accounts and deposits of corporations and households and increases government deposits in the banking system (reduce net claims on general government). |
|
Net foreign assets of the banking system (NFA) |
NFA reflects the impact of corporations and households operations with non-residents on money supply developments (foreign trade operations and operations with financial instruments of non-residents). For instance, transfer the export revenues to Russian credit institutions accounts increases foreign currency correspondent accounts of the Russian credit institution (increasing NFA) and foreign currency deposits in the banking system (growth of broad money). Import payments have the opposite effect. There are also other operations that lead to changes in net foreign assets. |
| Other factors | The transfer of funds from household accounts to escrow accounts (not included in monetary aggregates) as well as increase of the capital of the banking system (as a result of its growth due to retained earnings of credit institutions) has a restraining effect on money supply. |
* adjusted for foreign currency revaluation.