Money supply growth accelerates in May

Money supply growth accelerated in May to 16.6% year on year, up from 16.2% in April.

The increase was driven by higher domestic borrowings and sustained credit demand, particularly for production activities.

Credit to key sectors such as real estate, financial services, electricity, information and communication, and transportation grew, while household consumption loans slowed due to the impact of lockdowns.

The Bangko Sentral ng Pilipinas (BSP) attributed this growth to its monetary policy easing measures and expects further traction from earlier liquidity measures.