China Aggregate Financing Rises to Highest Level in Four Months

The People’s Bank of China Headquarters
A Chinese flag flies outside the People's Bank of China headquarters stands in Beijing. Photographer: Tomohiro Ohsumi/Bloomberg

China’s broadest measure of new credit was more than forecast in August as money-supply growth quickened, data from the People’s Bank of China showed today.

Aggregate financing was 1.57 trillion yuan ($257 billion), the Beijing-based central bank said in a statement on its website. That compared with the 950 billion yuan median estimate of 10 economists surveyed by Bloomberg News and 1.25 trillion yuan a year earlier.

M2, the broadest gauge of money supply, rose 14.7 percent from a year earlier, compared with the 14.6 percent median estimate of analysts and 14.5 percent in July.

New yuan loans were 711.3 billion yuan, compared with the 730 billion yuan median estimate and 703.9 billion yuan in August 2012. That represented a 45 percent share of aggregate financing after about 87 percent in July, which was the highest in almost two years following a government crackdown at shadow banking aimed at limiting risks in the financial system.

— With assistance by Scott Lanman

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