STERLING M3 UP 2-1/4 PCT IN FEBRUARY, M0 DOWN
The main measure of U.K. Broad money,
sterling M3, grew a provisional, seasonally adjusted 2-1/4 pct
in February after a rise of 1.1 pct in January, the Bank of
England said.
    The narrow measure, M0, fell a provisional adjusted 3/4 to
one pct after a 0.6 pct drop in January, the Bank said.
    Unadjusted annual growth in sterling M3 was 18-3/4 to 19
pct in the 12 months to February against 17.6 pct in January
while M0 rose four to 4-1/4 pct after a 5.2 pct rise in
January.
    Seasonally adjusted, sterling bank lending grew 2.9 billion
stg after a January rise of 1.75 billion.
    Of the unadjusted counterparts to sterling M3, bank lending
to the private sector expanded 2.6 billion stg after a 1.4
billion rise in January, the Bank said.
    The public sector borrowing requirement (PSBR) contracted
by 300 mln stg after a contraction of 3.7 billion stg in
January.
    Funding - debt sales to the non-bank private sector and
external flows to the public sector - rose by 300 mln stg after
a 1.5 billion stg rise in January. Of this, central government
debt sales to the public sector were expansionary by 400 mln
stg after a 1.3 billion expansion in January, the Bank said.
    Other unadjusted counterparts to sterling M3 expanded by
300 mln stg in February after an expansion of 1.3 billion stg
in January, the Bank said.
    Unadjusted figures showed a rise in sterling M3 by 1-3/4 to
two pct in February after a drop of 0.8 pct in January.
    On the same basis, the figures showed a drop of about 1-1/2
pct in MO in February after a sharp 6-1/2 pct fall in January.
    The Bank said it would publish full, final figures on March
30.
    The Bank said non-bank private sector holdings of public
sector debt fell by about 400 mln stg in February while
external flows to the public sector were about 100 mln stg.
    Combined with a net PSBR repayment of about 300 mln stg,
the public sector contribution to the growth in sterling M3 was
therefore about flat, the Bank said.
    It said seasonally adjusted bank lending, at about 2.9
billion stg in February, compared with an average of about 2.6
billion stg a month over the preceding six months.
 REUTER
