Deposits With Guernsey Banks Increase Once More

The total of deposits held by Guernsey banks at the end of December rose by £2,418 million from the previous quarter, an increase of 5.4%. Total deposits now stand at £46,855 million bringing the overall increase in 1995 to £4,664 (+11.1%) compared to £4,709 in 1994 (+12.6%).

Most of the banks saw some increase in deposits with a couple in particular increasing quite sharply. Interbank lending, responsible for most of the fall in the previous quarter, rose by £365 million and movements in the exchange rate also accounted for part of the rise as over the quarter sterling weakened considerably against the dollar. Deposits increased by a proportion of seven in foreign currencies to three in sterling but the split of the total deposits remains around 75% in currency to 25% in sterling.