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Savings slowdown shows consumers take spending bait

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Mark O'Neill

In a sign consumer spending may be picking up, the central bank has reported growth in personal savings slowed in the third quarter while fixed-term deposits fell.

Mainlanders have spent more on bonds, stocks, holidays and education.

The Economic Daily yesterday quoted figures from the People's Bank of China showing individual bank savings rose by 2.48 billion yuan (about HK$2.31 billion) in the third quarter, down from a growth of 11.33 billion yuan in the same period last year.

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The monthly increase was 621 million yuan, sharply down from the monthly increase of 5.97 billion in the first five months of the year.

Fixed-term bank deposits in July, August and September fell by a cumulative 3.66 billion yuan, as people switched their money to current accounts which they could access any time.

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The bank gave several reasons for the change.

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