Central Bank of China

PRESS RELEASE Release Date: March 25, 2004




--------------------------------------------------------------------------------

Financial Conditions (February 2004)

Monetary Aggregates For the month of February 2004, the annual growth rates of the monetary aggregates M1A, M1B and M2, measured on a daily average basis, were 18.56%, 20.42%, and 6.80%, respectively. Both M1A and M1B growth rates fell due to the return of currency to the banking system after the Chinese lunar new year. The higher M2 growth was mainly attributed to the growth of bank loans and investments, as well as the continued increase in net foreign capital inflow. In addition, M2 plus bond funds held by the general public also rose from 8.28% in the previous month to 8.56%.

Direct and Indirect Finance At the end of February, the annual growth rate of total outstanding loans and investments in major financial institutions, including monetary institutions and the Chunghwa Post Co., rose from 2.54% at the end of the previous month to 3.62%, mainly due to the steady economic recovery resulting in the increase in bank claims on private enterprises, as well as the lower base of the corresponding month of the previous year. If(1)loans and investments extended by life insurance companies and investment and trust companies,(2)non-accrual loans reclassified and bad loans written-off by major financial institutions, and(3)funds raised directly from capital markets were all taken into account, the total amount of funds raised by non-financial sectors showed an annual growth rate of 7.58%, higher than the 6.62% posted in January.



--------------------------------------------------------------------------------

Notes: 1. The upcoming Financial Conditions (March 2004) is scheduled for release at 16:20 on April 26, 2004.

2. For the release schedule for the next six months, please check the CBC website at http://www.cbc.gov.tw/EngHome/ESSDS/calacal.htm


Table [EXCEL][PDF]