The reserve money (MO) observes a turnaround in May 2020, noting an increase of 2%.
As such, the reserve money’s increase comes in annual terms after recording a decline of 8% in April 2020.
Moreover, Maldives Monetary Authority (MMA) reports the increase stems from a bump in net domestic assets and a drop in net foreign assets of MMA.
Net domestic asset increase comes mainly from the surge in net claims on central government.
Meanwhile, broad money observes acceleration by 6% in annual terms for review month.
In the month before May, the acceleration only hit 2% as per central bank.
Furthermore central bank notes broad money increase is resultant of bump in narrow money; coming from a surge in transferable deposits.
Quasi-money reflects a similar increment mirroring the slowdown in the decrease of foreign currency denominated transferable deposits.