26 Nov 2009 15:11

Russian money supply grows 1.6% to 13.87 trln rubles in October

MOSCOW. Nov 26 (Interfax) - Russia's M2 money supply (national definition) expanded 1.6% to 13.875 trillion rubles in October 2009 from 13.650 trillion rubles in September, the Central Bank said on its website.

Money supply increased 2.8% in the first 10 months of the year from 13.493 trillion rubles on January 1.

Over the past year, the money supply has increased 2.6% from 13.520 trillion rubles on November 1, 2008.

One month ago the Central Bank forecast that the money supply would rise 4%-5% in full-year 2009. Later, at the end of November, Central Bank First Deputy Chairman Alexei Ulyukayev said the money supply had risen 6.5% year-to-date and might increase by a total of 10% for the full year.

M0 (cash in circulation) money supply rose 2.3% to 3.567 trillion rubles in October but declined 6.0% in the 10 months from 3.795 trillion rubles at the start of the year.

Cash in circulation increased by 81.1 billion rubles in October, erasing declines of 43.5 billion rubles in August and 21.0 billion rubles in September. M0 increased in just one other month this year - by 131.8 billion rubles in April - following a decline of 516.5 billion rubles in January-March (including 498.1 billion rubles in January).

M0 money supply declined 10.0% over the last year from 3.962 trillion rubles on November 1, 2008.

Non-cash funds increased 1.4% to 10.308 trillion rubles in October and 6.3% in January-October from 9.698 trillion rubles. Non-cash funds increased 7.9% over the last year from 9.558 trillion rubles.

M2 is defined as total cash in circulation (outside banks) and balances in the domestic currency on accounts of resident non-financial organizations, financial organizations (except for credit organizations) and individuals.