Commentary on monetary developments statistics

June 2026

Commentary on the main indicators

Compared to the previous month, the annual rate of growth of M3 increased to 6.3% in June 2026, representing a month-on-month rise of 1.0 percentage point. As a result of financial transactions, M3 rose by CZK 37.3 billion month on month (up by CZK 454.3 billion year on year), reaching CZK 7,609.6 billion.

Individual components of the annual rate of growth of M3 showed a similar and somewhat subdued pace in June. The contribution of currency in circulation remained flat (at 0.3 percentage point from March to June). The contribution of overnight deposits increased slightly (from 4.5 percentage points in May to 5.3 percentage points in June). The contribution of short-term deposits rose marginally (from 0.1 percentage point in May to 0.2 percentage point in June), as did the contribution of marketable instruments (from 0.4 percentage point in May to 0.5 percentage point in June).

Chart 1 – Contributions to annual M3 growth (%)
Contributions to annual M3 growth (%)

Source: ARAD data series system

The annual growth rate of loans to the private sector, which are the most important counterpart of M3, rose slightly in June compared with the previous month, by 0.3 percentage point to 9.8%. As a result of financial transactions, the volume of these loans grew by CZK 71.2 billion month on month (an increase of CZK 422.3 billion year on year), amounting to CZK 4,737.9 billion. The annual growth rate of loans to non-financial corporations, a major component of this indicator, increased by 1.6 percentage points month on month to 9.8%. This is the highest rate recorded since November 2022. The second key component consists of loans to households, whose year-on-year growth rate has been showing a slightly upward trend since May 2024; in June this year it increased by 0.3 percentage point compared with May, reaching 10.4% (for comparison, it was 4.1% in April 2024).

Chart 2 – Contributions to annual growth in loans to private sector (%)
Contributions to annual growth in loans to private sector (%)

Source: ARAD data series system

Note:

  • Monetary aggregates comprise the monetary liabilities of monetary financial institutions to non-MFI Czech residents except central government. The narrow monetary aggregate M1 includes currency in circulation (excluding cash at banks’ cash desks) and overnight deposits. The intermediate monetary aggregate M2 comprises M1, deposits redeemable at notice of up to three months and deposits with a maturity of up to two years. The broad monetary aggregate M3 comprises M2, money market fund shares/units, debt securities with a maturity of up to two years and repurchase agreements.
  • The private sector comprises all resident institutional sectors except general government (S.13) and monetary financial institutions (S.121, S.122 and S.123 under ESA 2010).