The Central Bank of Kuwait announced on Wednesday that the Broad Money Supply (M2) rose by 0.6% to KWD 40.4 billion (around $133.3 billion), in September on a monthly basis.
The bank’s Economic Research Department said in statistical tables that the private sector deposits in local banks in dinars rose by 0.6%, in September to reach KWD 37 billion (around $122 billion).
It added that private sector deposits in foreign currencies rose by 2.9%, to reach KWD 1.88 billion (around $6 billion), while the total balances of local banks’ claims on the Central Bank in dinars, represented by the Central Bank’s bonds, fell by 8.8% to reach KWD 2.5 billion (around $8.2 billion).
Moreover, the total assets of local banks rose by 1.2% last September to KWD 89.6 billion (about $295 billion), while the net foreign assets of local banks rose by 4.5%, to KWD 14.2 billion (about $46.8 billion).
The report indicated that time deposits at the Central Bank rose by 3.9% last September to KWD 1 billion (about $3.3 billion), while cash credit facilities (loans) rose by 0.8% to KWD 55.8 billion (about $184 billion).
The average interest rates on one-year treasury bonds fell last September to 4.375% from 4.625% last August, while financing of Kuwaiti imports rose by 24.8% to KWD 858.8 million (about $2.8 billion), while the average exchange rate of the US dollar against the dinar, fell by 0.1% to 305 fils.
The money supply in its narrow sense means, the volume of current transactions and includes paper and metal currencies that people use in their daily transactions, and money deposited in banks in the form of current accounts or demand deposits. While the money supply in its broad sense includes, in addition to current money, time deposit accounts and savings accounts.
