MNI BRIEF: China March M2 Grows By 7% Y/y For Third Month

China's M2 money supply grew by 7.0% y/y for a third consecutive month in March, in line with market forecasts, as credit demand rebounded and government bond issuance increased, data released on Sunday by the People's Bank of China showed.

M1 money supply grew by 1.6% y/y, quickening from February's 0.1% growth. 

Banks extended CNY3.64 trillion in new loans in March, up from February's CNY1.01 trillion. Total social financing rose by CNY5.89 trillion, higher than growth of CNY2.23 trillion in February. Shadow banking transactions increased by CNY370.5 billion, compared to a CNY354.4 billion contraction in the previous month. (See MNI INTERVIEW: PBOC To Ease In Tariff Response - BOC's Zong)