Chinese Loans Rise in May

Chinese financial institutions issued 870.8 billion yuan ($140.5 billion) in new yuan loans in May, up from 774.7 billion yuan in April, data from the central bank showed Thursday.

Newly extended loans in May were higher than the 733.3 billion yuan forecast by a Wall Street Journal poll of 15 economists.

Total social financing, a broader measurement of credit in the economy, came to 1.40 trillion yuan in May, down from 1.55 trillion yuan in April.

China’s broadest measure of money supply, M2, was up 13.4% at the end of May compared with a year earlier, higher than the 13.2% rise at the end of April, People’s Bank of China data showed.

The figure was above the median 13% increase forecast by the poll of economists.

M1, the narrow money supply, was up 5.7% on year in May after rising 5.5% on year in April. M0, a measure of currency in circulation, was up 6.7% on year in May after rising 5.4% in April.

via MarketWatch

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