Banking deposits: less momentum, and mainly from term deposits

Summary

In September 2014 the nominal annual growth rate of traditional banking deposits (demand + term) was 8.8%, representing a reduction of 2.0 percentage points (pp) from the previous month. This reduction was driven mainly by the deceleration seen in term deposits, whose share in the growth of traditional banking deposits fell to 0.2pp from 1.6pp in August. The contribution of demand deposits to the growth of traditional banking deposits shrank too, although to a lesser extent, edging down from 9.1pp to 8.6pp. Thus, term deposits made up 1.9% of the growth rate in traditional banking deposits (vs. 14.6% in the previous month), whereas demand deposits represented 98.1% (vs. 85.4% a month earlier). The drop in the growth rate of traditional banking deposits may be in response to the execution of investment plans by companies, as shown in the recovery of the Gross Fixed Investment Indicator, which posted an annual growth rate of 4.3% in August (0.4% in May, 2.3% in June and 3.0% in July)

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