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MNI BRIEF: China's Feb TSF Strong On Robust Loans, Govt Debt

MNI (Singapore)
(MNI)Beijing

China’s aggregate financing beat market expectations in February due to strong growth in new loans and government bond issuance, People's Bank of China data showed on Friday.

Total social financing grew by CNY3.16 trillion compared to a median expectation of CNY2.2 trillion, though less than January’ s CNY5.98 trillion. New loans grew CNY1.81 trillion, also higher than an expectations for CNY1.49 trillion but lower than CNY4.9 trillion in the previous month. The outstanding TSF rose by 9.9% in February compared to 9.4% in January.

Governments raised a net CNY813.8 billion via bond issuance in February compared with CNY414 billion in January. Shadow banking transactions fell by CNY8.1billion compared to a rise of CNY348.5 billion in the previous month.

M2 money supply growth printed at a 12.9%y/y pace, up from 12.6% y/y in January and faster than the estimate of 12.5%. M1 growth increased 5.8% y/y, decelerating from January's 6.7%% y/y pace.

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