The increase was encouragingly recorded across a wide range of banks but, this quarter, was mostly reflected in increases among foreign currency deposits - mainly USD, DEM and CHF. The foreign currency element is boosted slightly when expressed in sterling due to the weakening of the pound over the quarter. The amount of sterling deposits also rose but only marginally during the quarter. The currency breakdown this quarter is spilt as to 35% sterling and 65% other currency deposits. The largest single currency type within the total deposits remains USD at 45%. The currencies joining the EMU accounted for just over 14% of deposits at the year end.
Local inter-bank activity was down some £342 million in the quarter. Over the year as a whole deposits rose by £3,565 million (or 7.2%). A table showing the level of deposits since 1980 is attached. There were no new licences issued during the quarter and none were surrendered. However some banks licensed earlier in the year did feature for the first time in this quarter's figures. Philip Marr, Director of Banking says:
"The solid increase in deposits in the last quarter of 1998 must be regarded as another vote of confidence in Guernsey banks".
DEPOSITS WITH LICENSED DEPOSIT-TAKERS
End No. of licensed Deposits Quarterly Yearly
Period institutions £Mn Variation Variation
% %
198O 43 1,800
1986 52 9,508
1987 54 8,838 -7.0
1988 56 10,168 15.0
1989 58 12,992 27.8
1990 Mar 66 13,387 3.0
June 68 13,469 0.6
Sept 70 14,522 7.8
Dec 72 15,476 6.6
1991 Mar 72 16,203 4.7
June 72 16,829 3.9
Sept 71 16,156 -4.0
Dec 72 16,250 0.6 5.0
1992 Mar 73 17,849 9.8
June 72 17,673 -1.0
Sept 73 21,226 20.1
Dec 76 27,442 29.3 68.9
1993 Mar 73 30,299 10.4
June 74 32,605 7.6
Sept 75 37,595 15.3
Dec 75 37,482 -0.3
1994 Mar 74 37,773 0.8
June 73 40,320 6.7
Sept 73 41,439 2.8
Dec 73 42,191 1.8 12.6
1995 Mar 72 43,018 2.0
June 73 45,207 5.1
Sept 73 44,437 -1.7
Dec 73 46,855 5.4 11.1
1996 Mar 75 45,897 -2.0
June 76 44,917 -2.1
Sept 75 43,832 -2.4
Dec 72 43,324 -1.2 -7.5
1997 Mar 73 45,652 5.4
Jun 75 45,973 0.7
Sept 79 47,786 3.9
Dec 78 49,357 3.3 13.9
1998 Mar 76 48,658 -1.4
Jun 76 49,792 2.3
Sept 78 50,434 1.3
Dec 78 52,922* 4.9 7.2
* of which £l,596 million constitutes local interbank deposits
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
