Banking sector liquidity fell in May - MNB
Forint liquidity of Hungaryʼs banking sector fell in May from a month earlier, which was mainly reflected in a decrease in the average stock of credit institutionsʼ overnight and other deposits, the National Bank of Hungary (MNB) said in a report on Friday, state news wire MTI reported.
According to preliminary data, the average stock of overnight deposits fell by HUF 192.8 billion to HUF 519.0 bln.
The MNBʼs average stock of external assets was down by HUF 12.7 bln at HUF 9.310 trillion. The stock of external assets stood at HUF 9.327 tln at the end of May, down from HUF 9.344 tln at the start of the month.
Transactions decreased the stock of external assets by HUF 152.9 bln, while revaluations and other factors raised it by HUF 135.9 bln.
The average stock of central government deposits was down by HUF 4.7 bln at HUF 1.559 tln in May. The stock stood at HUF 1.677 tln at the end of the month, up from HUF 1.611 tln.
In May, the MNB concluded one, three, six and 12-month transactions with credit institutions at the EUR/HUF FX swap tenders providing forint liquidity. The average stock of swap transactions providing forint liquidity fell during the month.
The average stock of currency in circulation continued to rise during the month and reached HUF 6.133 tln by the end of it.
The monthly average of the banking sectorʼs current account balances with the MNB exceeded reserve requirements by HUF 50.7 bln. In May, reserve requirements amounted to HUF 226.3 bln.
SUPPORT THE BUDAPEST BUSINESS JOURNAL
Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.