Money supply growth accelerated in October while private sector credit slipped, the European Central Bank has said in data that underlined the sluggish pace of euro zone economic's recovery.
Growth in credit granted to households and businesses stood at 5.4 per cent last month, down a little from the 5.5 per cent annual growth rate in September.
ECB policymakers have been watching the gradual improvement in credit growth closely as an early indicator for recovery while money supply garners less immediate attention since it has lost its early predictive value for inflationary pressures.
The growth rate for M3, a broad measure of money in bank checking and savings accounts, rose to an 8.0 per cent year-on-year growth rate in October, compared with a 7.2 per cent rate analysts in a Reuters poll expected on average.
September was revised upward to 7.6 per cent from the 7.4 per cent seasonally adjusted rate previously reported.
The three-month moving average for M3 stood at 7.9 per cent in October, compared with 8.1 per cent in the prior period.