Money supply stands at Rs34.9tr as of October

December 07, 2023 (MLN): The total money supply circulating within the economy till October 2023 has been recorded at Rs34.91 trillion, according to provisional accounts on Monetary Aggregates for the month, maintained by the State Bank of Pakistan (SBP).

The money circulating within the economy until September 2023 was Rs34.64tr whereas, in the month of October of last year, the figure was Rs30.74tr. This means that the money supply has risen by 0.75% MoM while, on a year-on-year basis, it has jumped by 13.56% YoY.

Having broken down the overall money supply into broad categories, the SBP data shows that Rs8.4tr were circulated as notes while Rs18tr accounted for transferable deposits which comprise all deposits that are exchangeable on demand at par without penalty/restriction.

The currency circulated as notes which have been high in Pakistan relative to other developed and emerging economies because of the high informal economy rose by over 1.61% MoM and 10.37% over the year.

Apart from this, other deposits constituted Rs5.31tr in October 2023, up by 1.71% MoM and up 12.77% YoY.

Other deposits represent all claims other than transferable deposits in national or foreign currency that are represented by evidence of deposits.

Meanwhile, coins in circulation remained rose to Rs9.19 billion in October 2023 compared to Rs9.17bn in the previous month and Rs9.04bn in October 2022.

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