China Money Supply: The New Normal | CEIC
By Suyang Zhou - Research Analyst China’s narrow money supply, M1, has outpaced its broad money supply, M2 since Oct 2015. The difference between the two reached a maximum of 15.2% in July 2016 and became slightly narrower afterwards. The major reason of such narrowing is due to a slowdown of M1 growth, rather than acceleration of M2 growth. In fact, y-o-y growth of M2 broke the 10% level and was trending down further in June.