Central Bank: The balance of M2 at the end of July was 329.94 trillion yuan, a year-on-year increase of 8.8%.

On August 13th, the central bank released the financial statistics report for July 2025. The data shows that by the end of July, the broad money supply (M2) balance was 329.94 trillion yuan, an increase of 8.8% year-on-year. The narrow money supply (M1) balance was 111.06 trillion yuan, an increase of 5.6% year-on-year. The currency in circulation (M0) balance was 13.28 trillion yuan, an increase of 11.8% year-on-year. Net cash injection in the first seven months was 465.1 billion yuan. 1. Broad money supply increased by 8.8% in July By the end of July, the broad money supply (M2) balance was 329.94 trillion yuan, an increase of 8.8% year-on-year. The narrow money supply (M1) balance was 111.06 trillion yuan, an increase of 5.6% year-on-year. The currency in circulation (M0) balance was 13.28 trillion yuan, an increase of 11.8% year-on-year. Net cash injection in the first seven months was 465.1 billion yuan. 2. RMB loans increased by 1.287 trillion yuan in the first seven months By the end of July, the balance of both domestic and foreign currency loans was 272.48 trillion yuan, an increase of 6.7% year-on-year. The balance of RMB loans at the end of the month was 268.51 trillion yuan, an increase of 6.9% year-on-year. RMB loans increased by 1.287 trillion yuan in the first seven months. Breakdown showed that household loans increased by 680.7 billion yuan, with short-term loans decreasing by 383 billion yuan and medium and long-term loans increasing by 1.06 trillion yuan; loans to enterprises increased by 1.163 trillion yuan, with short-term loans increasing by 375 billion yuan, medium and long-term loans increasing by 691 billion yuan, and bill financing increasing by 824.7 billion yuan; loans to non-banking financial institutions increased by 235.7 billion yuan. By the end of July, the balance of foreign currency loans was 555.8 billion U.S. dollars, a decrease of 8.1% year-on-year. Foreign currency loans increased by 13.7 billion U.S. dollars in the first seven months. 3. RMB deposits increased by 1.844 trillion yuan in the first seven months By the end of July, the balance of both domestic and foreign currency deposits was 327.83 trillion yuan, an increase of 9% year-on-year. The balance of RMB deposits at the end of the month was 320.67 trillion yuan, an increase of 8.7% year-on-year. RMB deposits increased by 1.844 trillion yuan in the first seven months. Among them, household deposits increased by 966 billion yuan, non-financial corporate deposits increased by 310.9 billion yuan, government deposits increased by 2.02 trillion yuan, and non-banking financial institutions deposits increased by 469 billion yuan. By the end of July, the balance of foreign currency deposits was 1 trillion U.S. dollars, an increase of 20% year-on-year. Foreign currency deposits increased by 148.9 billion U.S. dollars in the first seven months. 4. In July, the weighted average monthly interbank lending interest rate in the RMB market was 1.45%, and the weighted average monthly bond repurchase rate was 1.46% In July, the total turnover of the interbank RMB market through lending, cash bond transactions, and repo transactions was 222.44 trillion yuan, with a daily average turnover of 9.67 trillion yuan, an increase of 14.8% year-on-year. Among them, the daily average turnover of interbank lending increased by 3.1% year-on-year, cash bond transactions increased by 2.8% year-on-year, and repo transactions increased by 18.6% year-on-year. The weighted average interest rate of interbank lending in July was 1.45%, a decrease of 0.01 and 0.36 percentage points compared to the previous month and the same period of the previous year, respectively. The weighted average interest rate for bond repurchase was 1.46%, a decrease of 0.04 and 0.36 percentage points compared to the previous month and the same period of the previous year, respectively. 5. In July, the amount of cross-border RMB settlement under current account transactions was 1.57 trillion yuan, and the amount of direct investment cross-border RMB settlement was 0.64 trillion yuan In July, the amount of cross-border RMB settlement under current account transactions was 1.57 trillion yuan, with trade in goods, services, and other current transactions accounting for 1.15 trillion yuan and 0.42 trillion yuan, respectively; the amount of cross-border RMB settlement for direct investment was 0.64 trillion yuan, with outward direct investment and foreign direct investment accounting for 0.22 trillion yuan and 0.42 trillion yuan, respectively. Source: People's Bank of China website; GMTEight Editor: Chen Xiaoyi.