INTERSECTORAL FINANCIAL FLOWS
AT END OF DECEMBER QUARTER 2016
DURING DECEMBER QUARTER 2016
During December quarter 2016, rest of world borrowed a net $23.4b from financial corporations, primarily through loans and issuance of debt securities, which were partially offset by derivatives settlement.
The household sector incurred net claims of $16.1b on financial corporations through net equity in reserves of pension funds and deposits, which were partially offset by loan borrowings.
General government reduced net claims by $20.2b from non-financial corporations driven by the withdrawal of equity.
Non-financial corporations borrowed a net $17.5b from rest of world, primarily through equity and bond issuances, and these were partially offset by loan repayments.
At the end of December quarter 2016, net claims on non-financial corporations were $1,021.0b from rest of world, $955.0b from financial corporations, $453.8b from the household sector and $346.3b from general government.
Net claims on financial corporations were $1,506.1b from the household sector, these were driven by net equity in reserves and deposit holdings.