C3 Monetary and credit aggregate components

Released
28 February 2017 03:00 p.m.
Source
Reserve Bank of New Zealand
Periodicity
Monthly
Data files
Previous years: Monthly:
Jan 2015 Jan 2016 Sep 2016 Oct 2016 Nov 2016 Dec 2016 Jan 2017
Notes and coin held by the public
1. Currency in circulation 5,325 5,817 5,661 5,742 5,873 6,298 5,978
2. Less currency held by M3 institutions 697 791 689 718 685 926 704
Notes and coin held by the public (1-2) 4,628 5,026 4,971 5,025 5,188 5,372 5,274
M1
3. Transaction balances (cheque) 35,025 38,952 42,263 43,857 44,114 45,442 43,623
4. Less inter-institutional transaction balances (cheque) - 0 0 3 0 0 0
5. Less Government transaction deposits 143 136 353 336 356 288 313
M1 (Notes & coin +3-4-5) 39,509 43,842 46,881 48,543 48,946 50,527 48,584
M2
6. Transaction EFTPOS (excl.cheque) 30,701 38,135 38,423 38,193 38,286 38,585 38,261
7. Total other call funding 61,591 66,847 64,367 64,811 65,950 64,295 64,091
8. Less inter-institutional EFTPOS (excl.cheque) - - - - - - -
9. Less other call inter-institutional funding 185 238 51 215 42 49 54
M2 (M1+6+7-8-9) 131,616 148,585 149,620 151,332 153,140 153,357 150,882
M3 Broad money
10. NZD funding 295,236 316,802 324,807 329,669 331,518 334,554 333,943
11. Less NZD inter-institutional claims 14,482 14,950 13,682 13,227 12,710 12,669 12,155
12. Less Government deposits 1,637 1,508 2,398 2,043 1,985 1,790 2,150
M3 (Notes & coin +10-11-12) 283,745 305,370 313,698 319,424 322,011 325,467 324,913
13. Less NZD funding from non-residents 33,994 34,614 32,978 33,213 33,622 34,496 35,166
M3R (M3-13) 249,750 270,756 280,720 286,211 288,389 290,971 289,747
M3 excluding repos 283,110 305,611 312,987 318,760 321,409 324,650 323,267
M3R excluding repos 249,493 271,518 280,277 286,178 288,302 290,823 289,017
Private Sector Credit
1. NZD claims (all surveyed institutions) 369,387 397,765 413,119 417,838 418,542 421,224 422,774
2. Less NZD inter-institutional claims 14,482 14,950 13,682 13,227 12,710 12,669 12,155
PSC (1-2) 354,906 382,815 399,437 404,611 405,832 408,555 410,620
3. Less NZD claims on non-residents 12,824 15,910 14,259 15,723 16,167 17,399 17,522
PSCR (PSC-3) 342,082 366,906 385,178 388,888 389,665 391,156 393,098
PSC excluding repos 353,609 379,268 397,612 401,585 402,624 405,415 406,645
PSCR excluding repos 341,593 365,768 384,266 387,748 388,512 389,998 391,966
Domestic Credit
4. Claims on Govt by M3 institutions 12,889 12,079 13,540 13,709 13,968 13,491 14,363
5. Claims on Govt by Reserve Bank -3,820 -4,306 -4,423 -3,964 -3,402 -1,530 -4,359
DC (PSC+4+5) 363,974 390,588 408,554 414,356 416,399 420,517 420,624
DCR (PSCR+4+5) 351,150 374,678 394,295 398,634 400,231 403,118 403,102
Memo
1. Net foreign currency assets of M3 institutions -68,401 -71,638 -75,873 -76,617 -74,710 -79,014 -76,174
2. Net foreign currency assets of the Reserve Bank 19,341 20,298 18,681 19,036 18,346 20,254 20,367
Net foreign currency assets NFCA (1+2) -49,060 -51,340 -57,192 -57,581 -56,364 -58,759 -55,807
1. Capital & Reserves of M3 institutions -35,078 -37,836 -38,783 -39,202 -39,475 -39,510 -39,768
2. Balance sheet items n.e.c. net 3,908 3,958 1,120 1,850 1,452 3,220 -135
Residual items (1+2) -31,170 -33,878 -37,663 -37,351 -38,023 -36,290 -39,904
M3 (DC+NFCA+Residual) 283,745 305,370 313,698 319,424 322,011 325,467 324,913

The Data: Coverage, Periodicity, and Timeliness

Coverage characteristics

Table C3 provides a breakdown of the components of the monetary and credit aggregates.

Monetary aggregates are Currency, M1, M2, M3, M3(R), and M3 and M3(R) excluding repurchase agreements.

Credit aggregates are Private Sector Credit (PSC), Resident Private Sector Credit (PSC(R)), PSC and PSC(R) excluding repurchase agreements, Domestic Credit (DC) and Resident Domestic Credit (DC(R)).

The monetary and credit aggregates start in March 1998.

The monetary and credit aggregates cover the Reserve Bank, registered banks and non-bank financial institutions. See the list of M3 institutions included in the monetary and credit aggregates

Data are published as end of month figures in millions of New Zealand dollars.

.

Balance sheet figures reported by the surveyed financial institutions conform to generally accepted accounting practice in New Zealand. In particular, values may be at book or ‘marked to market' according to appropriate practice for the instruments involved.

The resident/non-resident distinction in these tables is based on the geographical location of respondents and counterpart transactions. To facilitate statistical reporting however, the New Zealand income tax rules on residency are accepted as an approximation.

Periodicity

Monthly

Timeliness

Released on or before the last business day of the month after the end of the reference month.

Access by the public

Statistics release calendar

The Statistics Release Calendar is updated and released on the last business day of the month. This is a long-term plan of scheduled releases.

Integrity

Dissemination of terms and conditions under which official statistics are produced, including confidentiality of individual responses

Data are collected under Section 36 of The Reserve Bank of New Zealand Act 1989 (The Act).

The Reserve Bank of New Zealand publishes only aggregated data. Individual institutional data is confidential.

Provision of information about revisions and advance notice of major changes in methodology

Provisional data are italicised. Data are deemed provisional when a series is under review. New data, or revised data, are in bold font. Revisions are generally published when the table is next due to be updated and released. Should revisions need to be made more promptly, a note is posted on the website as a ‘special note'.

Any major changes in methodology are posted on the website as a special note.

Quality

Dissemination of documentation on methodology and sources used in preparing statistics

Changes to the way monetary and credit aggregates have been compiled since 30 June 1998 are explained in Financial Statistics, June 1998 Vol 1, No 2.

Dissemination of statistics that support statistical cross-check and provide assurance of reasonableness

For an alternative breakdown of the money and credit aggregates see the "Aggregated M3 Standard Statistical Return" (SSR) as it was disseminated until November 2004 (the structure has not changed, but the SSR is no longer provided).

In May 2005, the liability for coins issued by The Treasury prior to July 1989 was transferred to the Reserve Bank of New Zealand balance sheet. Prior to May 2005, coins issued by The Treasury represent the difference between the value of "Currency in circulation" recorded in the monetary tables C1 and C3 and that shown in table F1 (Reserve Bank of New Zealand Liabilities).

With the introduction of new coins in mid 2006, all old cupronickel ("silver") coin issued but not returned to the Bank were demonetised in the Reserve Bank's accounts from November 2006.

The liability for demonetised currency which has not been returned to the Bank has been removed from the liability for "Currency in circulation". It remains on the Reserve Bank's balance sheet and is included in "Other liabilities".

Refer to the contingent liabilities note in the Bank's latest annual report for details of the Bank's accounting policies for "Currency in circulation" together with details of its contingent liabilities.

List of M3 institutions included in published monetary and credit aggregates

  • Reserve Bank of New Zealand
  • M3 institutions
    • Australia and New Zealand Banking Group Limited
    • ANZ Investment Services (New Zealand) Limited (Bonus Bonds Unit Trust)
    • ASB Bank Limited
    • Bank of New Zealand
    • Citibank N.A, New Zealand Branch
    • Deutsche Bank AG, New Zealand (no longer included in M3 from 1 August 2016)
    • GE Finance and Insurance (no longer included in M3 from 1 September 2015)
    • The Hong Kong and Shanghai Banking Corporation Limited, New Zealand branch
    • Kiwibank Limited
    • Rabobank New Zealand Limited and Rabobank Nederland, New Zealand branch
    • Southland Building Society
    • TSB Bank Limited
    • Westpac Banking Corporation, New Zealand branch and Westpac New Zealand Limited

Updated October 2015

Unless otherwise specified, data are in New Zealand dollars.

M3 institutions

Financial institutions that are surveyed by the Reserve Bank in compiling the monetary and credit aggregates are defined as M3 institutions.

Claims

Lending, either by loan or purchase of securities, by financial institutions.

Currency in circulation

Notes and coin on issue from the Reserve Bank.

DC

Domestic credit (DC) is the broadest lending aggregate, consisting of claims (lending) of M3 institutions on central government, and of M3 institutions and the Reserve Bank on the private sector.

DC(R)

The resident domestic credit DC(R) aggregate includes New Zealand dollar claims on New Zealand residents only.

Funding

Deposit liabilities of financial institutions.

Government deposits

Deposits from government departments and other central government agencies directly funded from the government account.

Inter-institutional transactions

Transactions between surveyed M3 institutions.

M1

Includes notes and coin held by the public, plus chequeable deposits, minus inter-institutional chequeable deposits, and minus central government deposits.

M2

Consists of M1 plus all non-M1 call funding (call funding includes overnight money and funding on terms that can of right be broken without break penalties) minus inter-institutional non-M1 call funding.

M3

M3 is the broadest monetary aggregate. It represents all New Zealand dollar funding of M3 institutions and any Reserve Bank repos with non-M3 institutions. M3 consists of notes & coin held by the public plus NZ dollar funding minus inter-M3 institutional claims and minus central government deposits.

M3(R)

This aggregate is the same as M3, less funding from non-residents.

M3 excluding repurchase agreements

New Zealand dollar funding excluding securities sold under agreements to repurchase (‘repos').

M3(R) excluding repurchase agreements

New Zealand dollar funding from New Zealand residents excluding securities sold under agreements to repurchase (‘repos').

Notes and coin held by the public

Notes and coin on issue minus currency held by M3 institutions.

PSC

Private sector credit (PSC) is the sum of the Reserve Bank and M3 institutions' New Zealand dollar claims on the private sector, excluding inter-institutional claims.

PSC(R)

The resident private sector credit (PSC) aggregate is the same data as PSC, but for New Zealand residents only.

PSC excluding repurchase agreements

New Zealand dollar claims, excluding securities purchased under agreements to resell.

PSC(R) excluding repurchase agreements

New Zealand dollar claims on New Zealand residents, excluding securities purchased under agreements to resell.

Transaction balances (cheque)

All balances of accounts on which customers may operate a cheque book, should they elect to do so.

Transaction EFTPOS (excluding cheque)

Deposits accessible by EFTPOS but not cheques are to a degree as liquid as those accessible by cheque. However, banks set spending limits for EFTPOS withdrawals. As a result, these deposits are not a universal means of payment. Most spending using EFTPOS is from chequeable deposits and included in Transaction balances (cheque). The M1 definition therefore incorporates most deposit balances widely used as a means of payment. A large proportion of non-M1, M2 balances is accessible by EFTPOS and is recorded here.

The Reserve Bank has been working with registered banks since mid-2015 to develop a new registered bank balance sheet collection that will replace the existing Standard Statistical Return (SSR).

In March 2017 the SSR will be retired and the publication of the following tables will be discontinued:

B5

Interest rates on funding and claims

C1

Monetary aggregates

C2

Credit aggregates

C3

Monetary and credit aggregate components

C4

Balance sheet of M3 institutions

C5

Sector credit

C6

Household credit

C17

Household deposits

S1

Banks: Balance Sheet ($m)

S6

Banks: Funding by sector ($m)

S7

Banks: Claims by sector ($m)

S8

Banks: Mortgage lending ($m)

In the first week of April 2017 we will publish data from the new balance sheet collection for the first time. Our first publication is aimed at replacing key data currently published from the SSR. Later in 2017 we plan to publish other more detailed data collected from the new balance sheet collection.

More in depth information on the new balance sheet data can be viewed on our statistics news and updates page www.rbnz.govt.nz/statistics

If you have any questions, please contact us at stats-info@rbnz.govt.nz.

28 February 2017

Symbols and conventions

0 Value rounded to zero
- Zero or not applicable
.. Not available
bold Revised/new
italics Provisional

General notes

  • Individual figures may not sum to the totals due to rounding
  • Percentage changes are calculated on unrounded numbers
  • You are free to copy, distribute and adapt these statistics subject to the conditions listed on our copyright page.