The money supply (M3) increased by 7.6% year-on-year at the end of April 2017, compared to 5.6% in March 2016 and 5.8% a year earlier, according to the report of the Central Bank of Tunisia (BCT) on the monetary and cyclical developments published in the month of May 2017.
This improvement mainly reflects the acceleration of the contributions to the economy (+ 9.8% in April 2017, compared to + 7.4% a year ago) and the recovery of net claims on the outside (+547 MD against -4,085 MT, during the same period of 2016).
However, net claims on the state slowed slightly (+ 19.5% in annual shift, compared with + 20%).
Monetary resources increased in March and April 2017 after the decline recorded in the first two months of the current year.
This development reflects a significant increase in demand deposits among banks and a reversal in April of certificates of deposit and banknotes and coins in circulation.
Household saving slowed down after a marked recovery throughout 2016.
As for credits to the economy, they increased by 788 MTD in April 2017, after a significant increase of 1.241 MTD in the previous month. On a year-on-year basis, they were up 9.7%, from 7.2% a year earlier.
A review of the liquidity situation in the banking sector reveals an increase in the liquidity requirement in April 2017.
This development is due to the restrictive effect mainly resulting from the receipt of tax revenues in March, including, in particular, the first tranche of the exceptional contribution to the State budget provided for in the Finances 2017, as well as the increased use of banks to buy foreign exchange, with the BCT to finance imports of economic agents.
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