During the three-week period starting March 12 to April 2 2015, broad Money M3 increased by LP 784B ($519.96M), to reach LP 177,868B ($117.99M) with a 5.00% year-on-year growth and 0.3% year-to-date uptick. Furthermore, M1 rose by LP 531B ($352.40M) due to a rise in demand deposits and moneyin circulation by LP 380B ($252.07M) and LP 151B ($100.17M).
Total deposits (excluding demand deposits) went up by LP 252.59B ($167.56M), given the expansion of deposits denominated in foreign currencies by $61M and in term and saving deposits in domestic currency by LP 161B. Over the above mentioned period, the broad money dollarization rate experienced a downtick from 58.30% to 58.10%. According to the Central Bank, the overnight interbank rate remained constant at 2.75% at the end of February 2015.
In the TBs auction held on the 23rd of April 2015, the Ministry of Finance raised LP 129.95B ($86.20M), through the issuance of bills maturing in 6M and 1Y, and 5Y notes. The highest demand was achieved on the 5Y notes, with a 72.89% share of total subscriptions. Meanwhile,the 6M and 1Y bills captured respective proportions of 13.16% and 13.95%. In addition, the 6M and 1Y bills yielded 4.87% and 5.08%, respectively, while the coupon rate of the 5Y notes stood at 6.74%. Maturing bills exceeded new subscriptions by LP 13.17B ($8.74M).