Ukraine's money supply up 11.5%, monetary base 19% in 7M

MOSCOW. Aug 10 (Interfax) - The M3 money supply in Ukraine rose 2.2% in July to UAH 2.788 trillion, Ukrainian media quoted the National Bank of Ukraine as saying on its website.

Money supply had grown 2.6% in June.

The monetary base was UAH 943 billion in July. Growth quickened to 3.9%, from 1.6% in June due to 9.4% growth in the reserves of banks to UAH 266 billion and 3.3% growth in deposit certificates to UAH 494.6 billion.

Deposits grew 2.3% in July, the increase again driven by local currency deposits, which rose 3.3% to UAH 1.42 trillion. Foreign currency deposits grew 0.2% to the equivalent of UAH 690.3 billion.

Loans grew for the first time in 12 months, by 0.5% to UAH 943.1 billion: hryvnia loans grew 0.4% to UAH 697.4 billion and FX loans rose 0.8% to UAH 245.7 billion.

Cash outside banks - the M0 aggregate - rose 1.9% to UAH 677 billion.

The M3 money supply rose 11.5% and the monetary base 19% in January-July as a whole. Deposits rose 15.1%, loans fell 4.7%, including FX loans 7.6%, and cash outside banks grew 1.6%.

Ukraine's money supply grew 21% in 2022 after rising 12% in 2021.

The NBU expects the monetary base to rise 24.1% and money supply 19.2% in 2023. The International Monetary Fund in materials on the EFF program, updated at the end of June, forecasts the monetary base will grow 25.3% and supply 22%, and that loans to the non-state sector will rise 12.5%.