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Table 2201(Capital, Econ., Asset, in.,)
Money Supply (Domestic Assets) (1988 - 1999) 
cap2201e  ( R Million )
                                                  Year                             Item 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999
A.Monetary Aggregates  
  1.Currency Circulation 20,371 21,126 23,901 27,523 30,497 35,950 43,082 46,685 49,481 53,135 60,088 70,211
  Held by the Government 8 5 11 10 11 1 1 1 1 1 1 1
  Held by the Commercial Bank 1,876 1,471 1,770 2,661 3,205 3,816 4,175 4,486 6,915 7,455 8,320 11,729
  Held by the Public 18,487 19,650 22,120 24,852 27,281 32,133 38,906 42,198 42,565 45,679 51,767 58,481
  2.Demand Deposits 30,925 35,520 49,597 66,874 68,012 87,131 104,093 117,687 126,723 127,136 128,148 133,006
  Held by the Government 7,727 8,357 12,587 16,759 11,136 7,572 11,186 11,271 14,378 16,323 13,506 14,066
  Held by the Commercial Banks 9,306 11,475 19,533 28,367 34,100 52,337 61,352 73,397 76,707 70,641 70,140 68,866
  Held by the Public 13,892 15,688 17,477 21,748 22,776 27,222 31,555 33,019 35,638 40,172 44,502 50,074
 3.Narrow Money Supply (M1) 32,379 35,338 39,597 46,601 50,057 59,335 70,461 75,217 78,203 85,852 96,268 108,555
B.Quasi - Money ( Held by Public )  
 1.Time & Savings Deposits                        
  a.Held in Rupee Deposits  35,567 41,096 50,949 63,975 79,472 100,781 121,209 153,319 174,998 202,406 219,906 249,522
  b.Rupee & Foreign Currency  Deposits - - - 73,747 93,765 121,138 143,843 184,224 210,451 247,816 281,473 319,765
 2.Broad Money Supply (M2)  (A3+B1a) 67,946 76,434 90,546 110,576 129,529 160,116 191,670 228,536 253,201 288,258 316,174 358,077
 3.Broad Money Supply  (M2b)  (A3+B1b) - - - 120,348 143,822 180,473 214,304 259,441 288,654 333,668 377,741 428,320
C.Monetary Survey on M2  
  Total : Broad Money Supply (M2)(=B2)  (1+2+3) 67,947 76,434 90,546 110,575 129,799 160,136 191,190 228,303 253,201 295,509 316,174 358,076
 1.Net External Banking Assets 7,059 4,732 3,419 12,258 20,940 48,119 64,467 66,532 61,861 89,292 93,724 83,892
 2.Domestic Credit                    (a+b) 96,868 102,322 115,964 127,751 144,003 150,697 173,315 223,566 252,317 279,984 311,626 374,120
a.Net Credit to Government 36,065 36,119 35,358 35,392 33,065 26,993 28,148 35,214 48,537 53,616 58,591 85,881
By Central Bank 32,917 33,971 34,602 36,954 37,937 23,008 25,006 33,538 41,635 29,405 35,675 46,716
By Commercial Banks 3,148 2,148 756 -1,562 -4,872 3,985 3,142 1,676 6,902 24,211 22,916 39,165
b.Gross Credit to Private Sector 60,803 66,203 80,606 92,359 110,938 123,704 145,167 188,352 203,780 226,368 253,035 288,240
Public Corporations 10,787 13,862 15,636 14,077 14,750 7,775 5,163 8,527 9,938 10,338 9,485 15,354
Co - operatives 1,319 1,178 1,535 1,683 1,962 1,903 2,541 3,939 1,465 1,661 1,812 1,608
Other Private 48,697 51,163 63,435 76,599 94,226 114,026 137,463 175,886 192,377 214,369 241,738 271,278
 3.Other Items (Net ) -35,980 -30,620 -28,837 -29,434 -35,144 -38,680 -46,592 -61,795 -60,977 -73,767 -89,176 -99,936
D.Reserve Money 25,556 26,787 31,569 40,046 44,848 56,469 68,055 78,586 85,509 83,735 92,866 100,444
E.GDP  (Market Prices ) 221,982 251,891 321,784 372,345 425,283 499,565 579,084 667,772 768,128 890,272 1,017,986 1,110,653
F.Money Multiplier (Ratio of Money Supply to Reserve Money)                  
For M1       (A3/D) 1.27 1.32 1.25 1.16 1.12 1.05 1.04 0.96 0.91 1.03 1.04 1.08
For M2       (B2/D) 2.66 2.85 2.87 2.76 2.89 2.84 2.82 2.91 2.96 3.44 3.40 3.56
For M2b     (B3/D) - - - 3.01 3.21 3.20 3.15 3.30 3.38 3.98 4.07 4.26
G.Velocity of Money (Ratio of GDP to Money Supply )
of M1         (E/A3) 6.86 7.13 8.13 7.99 8.50 8.42 8.22 8.88 9.82 10.37 10.57 10.23
of M2         (E/B2) 3.27 3.30 3.55 3.37 3.28 3.12 3.02 2.92 3.03 3.09 3.22 3.10
of M2b       (E/B3) - - - 3.09 2.96 2.77 2.70 2.57 2.66 2.67 2.69 2.59
© 2011, KRI (Kusaka Research Institute) Revised:  2011(y)/03(m)/20(d)  
Source:  Chief Editor:
Economic & Social Statistics of Sri Lanka 2000, Central Bank of Sri Lanka Dr. Milton Rajaratne (B.Com., M.Sc., Ph.D.)
      Former Head, Department of Management Studies
      University of Peradeniya.