Summary
• The broader monetary aggregate in pesos (M3) showed a growth of 0.4% in February and its year-on-year variation stood at 35.1%, 1.1 p.p. below January. Among the components of private M3, there was a new increase in fixed-term placements, partially offset by the decrease in means of payment. The growth of loans in pesos to the private sector was once again the main factor in the expansion of monetary aggregates.
• Fixed-term deposits in pesos in the private sector showed a monthly growth of 2.6%, with increases both in the segment of placements of $1 million and more and in the tranche of deposits of less than $1 million. The year-on-year growth rate of private sector term deposits remained at high levels, standing at 47.6%.
• Loans in pesos to the private sector increased 1.6% ($5,570 million) in February, a rate somewhat higher than that recorded in 2012. Thus, the year-on-year rate of change of financing in pesos to the private sector reached 42.1%, 0.4 p.p. above that observed in the previous month. The monthly growth in credit was mainly explained by lines of advances and personal loans.
• In February, the liquidity ratio (calculated as the sum of cash in banks, the current accounts of financial institutions at the Central Bank, net passes with such entity and the holding of LEBAC and NOBAC with respect to deposits) stood at 34%, 0.2 p.p. above January; registering a reduction in the participation of shorter-term assets (current accounts of entities in the Central Bank and net passes) and an increase in the holding of LEBAC and NOBAC of entities.
• Bank liquidity conditions favored the reduction of interest rates paid on time deposits; in particular, wholesalers. The BADLAR rate of private banks fell 0.4 p.p. in the month, averaging 14.8% in February. In the retail segment, the interest rate paid by private banks for their fixed-term deposits (up to $100,000 and up to 35 days) averaged 13%, 0.1 p.p. less than the previous month.
• Interest rates on most private sector lending lines also declined. The reductions were more pronounced in the case of longer-term loans. The interest rate applied to personal loans averaged 34.5%, with a monthly decrease of 0.5 p.p.. Among loans with real collateral, the interest rate on collateral loans resumed the downward trend observed throughout 2012. In February, its monthly average stood at 20.8%, falling 0.4 p.p..
