MNI 5 THINGS: China Jan New Loans, Money Aggregate At New High

     BEIJING (MNI) - Here are the key points from China's January money supply

and credit growth data released by the People's Bank of China (PBOC) on Friday:

     --New loans totalled CNY3.23 trillion in January, outpacing the CNY3.0

trillion projected by an MNI survey and the CNY1.08 trillion recorded in

December, hitting a historical high, indicating that banks are responding to the

PBOC's repeated requests to expand lending to private and small companies. 

     --M2 January grew by 8.4% y/y in January, beyond the 8.2% forecast by an

MNI survey and the 8.1% seen in December. M1 growth was 0.4%, 1.1 percentage

point lower than December's.

     --Total social financing (TSF) surged to a record high of CNY4.64 trillion

from CNY1.59 trillion in December, beating the CNY3.3 trillion projected by an

MNI survey. The figure was boosted largely by the expansion of local government

special bonds issuance in January. 

     --Shadow banking finance reversed the downward trend seen since March 2018

and increased by CNY343.2 billion in January, compared to December's contraction

of CNY172.9 billion. Out of this total, entrusted loans decreased by CNY69.9

billion, while trust loans and undiscounted bankers' acceptances together gained

CNY413.1 billion.

     --Corporate bond issuance rose to CNY499 billion in January from CNY435.6

billion in December. This underlined the central bank's effort to encourage bond

financing are continuing to take effect.

--MNI Beijing Bureau; +86 (10) 8532-5998; email: wanxia.lin@marketnews.com

--MNI London Bureau; tel: +44 203-586-2225; email: les.commons@marketnews.com

[TOPICS: MAQDS$,MAUDR$,MAUDS$,M$A$$$,M$Q$$$,M$U$$$]