QUICK LOOK: Philippine liquidity grew 5.5% in Oct 2024 as private borrowing rose

Domestic liquidity — the amount of cash and ‘near-cash’ assets circulating in the Philippine financial system — expanded by 5.5 percent year-on-year in October, reaching about P17.7 trillion. This rate was unchanged from the previous month’s pace.

• Private sector lending: Claims on the private sector grew by 11.5 percent, supporting households and non-financial corporations, from 12.5 percent in the previous month.
  
  
• Government borrowings: Net claims on the central government rose by 8.0 percent, reflecting increased national borrowing, compared to 6.6 percent in the previous month.
  
  
• Foreign assets: Net foreign assets grew by 11.2 percent, driven by a 13.8 percent increase in the central bank’s reserves.
  
  
• Policy focus: The Bangko Sentral ng Pilipinas emphasized aligning liquidity conditions with monetary policy to ensure price and financial stability.