During the week ending September 24, 2015, broad Money M3 increased by LP 551B ($365.27M), to reach LP 183,968B ($122.04B) posting a 5.22 % yearly growth and a 3.70% y-t-d uptick. Similarly, M1 expanded by LP 413B ($274.22M) over the mentioned period, due to the increase in demand deposits by LP 329B ($218.24M) and the LP 84B ($55.72M) expansion in money in circulation.
Total deposits (excluding demand deposits) increased by LP 137B ($491.05M) during the week ending September 24, given the $2M growth in deposits denominated in foreign currencies and the LP 135B increase in term and saving deposits in LP. Over the above mentioned period, the broad money dollarization rate experienced a down tick from 58.01% on September 17, to 57.84% on September 24. According to the Central Bank, the overnight interbank rate steadied at 2.75% at the end of August 2015.
In the TBs auction held on the 24th of September 2015, the Ministry of Finance raised LP 212B ($150.00M), through the issuance of bills and notes maturing in 3M, 1Y and 5Y. The highest demand was achieved on the 5Y notes, which grasped a 67% share of total subscriptions, while the 1Y and 3M bills captured the remaining 25% and 8%, respectively. The 3M and 1Y bills respectively yielded 4.39% and 5.08%, while the coupon rate on the 5Y notes stood at 6.74%.