By Staff writer
M2 money supply growth jumped 25.9 percent from a year ago, central bank says
Qatar’s M1 money supply growth, a measure that excludes longer-term deposits and money-market funds, rose an annual 19.7 percent in November to QR66.87bn, the central bank said in an e-mailed statement on Thursday.
M2 money supply growth jumped 25.9 percent from a year ago, while M3 rose 26 percent, according to a Bloomberg report.
The M1 money supply is a measurement of the total amount of currency in circulation. It consists of paper currency and coins, plus publicly held checking accounts.
M2 is a measure of total money supply. M2 includes everything in M1, in addition to savings and other time deposits.
M3 includes M1 and M2 plus large-denomination time deposits and balances in institutional money funds, repurchase agreements, and eurodollars.
Qatar's vibrant natural gas sector will propel the country to a 20 percent growth rate next year, the International Monetary Fund said earlier this week.
Despite this runaway expansion, inflation will remain subdued at 3 percent, the fund said.
IMF said that the main risk to the fund's robust outlook for Qatar, is a sharp drop in the price of natural gas.