Bosnia’s M1 growth accelerates to 3.1% y/y in June 2013.

By bne IntelliNews August 9, 2013

Bosnia’s money supply aggregate M1 rose 3.1% y/y to BAM 6.3bn (EUR 3.2bn) at end-June, quickening from a 2.6% increase the month before, central bank figures showed. The reading accounted for 22.6% of the forecast full-year GDP, down from 23.0% a year earlier.

M1 growth in June was underpinned by both rising currency in circulation and KM demand deposits.

The broader M2 aggregate grew 5.1% y/y to BAM 15.2bn in June, inching down from a 5.3% growth a month earlier, due to slower increase of other deposits in both foreign and domestic currency.

Quasi money (QM) rose 6.5% y/y to BAM 9bn in June, contributing 3.8 points to the 5.1% y/y M2 growth.

The M2-to-GDP ratio was broadly unchanged in annual terms at 54.9% at end-June.

Bosnia's money supply May'13,y/y,% Jun'13,y/y,% Jun'13,BAM mn
M1 2.6 3.1 6,258.6
Currency in circulation 3.4 3.6 2,441.2
Demand deposits in BAM 2.2 2.8 3,817.4
QM (quasi money) 7.2 6.5 8,976.2
Demand deposits in foreign currency 3.2 6.0 1,156.8
Other deposits in domestic curr. 15.0 14.5 2,776.7
Other deposits in foreign curr. 4.1 2.6 5,042.7
M2 5.3 5.1 15,234.9
M1 2.6 3.1 6,258.6
QM (quasi money) 7.2 6.5 8,976.2
Source: CBBH      

Related Articles

Bosnia officially joins Transport Community, unlocking €250mn in EU funding

Bosnia & Herzegovina has formally joined the Transport Community, unlocking more than €250mn EU funding for projects in the country. The European Union and five Western Balkan partners ... more

Bosnia risks losing access to external funding after IMF deal derailed, S&P warns

Standard & Poor’s has affirmed Bosnia & Herzegovina’s B/B foreign and local currency ratings and its stable outlook, but warned that divisive politics are delaying ... more

Bosnia's Sarajevo bourse joins regional SEE Link platform

The second of Bosnia & Herzegovina's two bourses - the Sarajevo Stock Exchange (SASE) - has enabled trading of securities on the markets of Southeast Europe, becoming an active member of the SEE ... more