Hong Kong Monetary Authority: In June, both the M2 and M3 money supply of the Hong Kong dollar increased by 0.8%.

On July 31, the statistics released by the Hong Kong Monetary Authority indicated that total deposits in recognized institutions increased by 0.1% in June 2026, with Hong Kong dollar deposits rising by 0.9% and foreign currency deposits falling by 0.5%. In the first half of 2026, total deposits and Hong Kong dollar deposits increased by 4.9% and 5.3%, respectively. Renminbi deposits in Hong Kong fell by 3.6% in June, amounting to 1,093.5 billion yuan at the end of June. The total renminbi remittances for cross-border trade settlements reached 1,277.7 billion yuan in June, compared to 1,129.6 billion yuan in May. Deposit changes are influenced by various factors, including interest rate trends and market fundraising activities; thus, it is appropriate to observe longer-term trends and not overly interpret fluctuations in individual months. Total loans and advances rose by 1.3% in June, with a 6.4% increase in the first half of 2026. Loans used in Hong Kong (including trade finance) and loans used outside of Hong Kong rose by 1.4% and 1.0%, respectively, in June. As the increase in Hong Kong dollar loans was greater than that in Hong Kong dollar deposits, the loan-to-deposit ratio for Hong Kong dollars rose from 71.0% at the end of May to 71.5% at the end of June. After a 3.0% increase in the previous quarter, loans used in Hong Kong (including trade finance) rose by 3.0% quarter-on-quarter in the second quarter of 2026. Analyzing by economic use, the increase in these loans in the second quarter was primarily driven by loans to financial companies and loans to the manufacturing sector. In June, the Hong Kong dollar M2 and M3 money supply both increased by 0.8%, while both rose by 2.6% compared to the same period last year. The seasonally adjusted Hong Kong dollar M1 money supply decreased by 1.0% in June, reflecting a 3.0% year-on-year decrease, which partially reflects investment-related activities. The total money supply M2 and M3 both saw an increase of 0.1% in June, and compared to the same period last year, M2 and M3 both increased by 9.2%.