Press Release - Record High For Guernsey Deposits

Total deposits held with Guernsey banks at the end of June increased 2.3% by £1134 million from the end of March to reach a record high of £49,792 million, some £435 million above the previous peak at the end of 1997.

The larger part of the overall increase was in sterling, up £743m or 4.4% over the quarter. This strong growth in sterling deposits reflects the continued success of the offshore deposit gatherers in attracting deposits in the offshore retail market place.

Foreign currency deposits - mainly USD, DEM and CHF - rose by £391m when expressed in sterling. Some £280m of that increase was explained by the slight weakening of sterling since the end of the first quarter, a development which was anticipated at the time the March figures were released.