INTERSECTORAL FINANCIAL FLOWS
DURING JUNE QUARTER 2016
During June quarter 2016, non-financial corporations borrowed a net $14.9b from rest of world, primarily through equity issuances and loans and placements.
The household sector incurred net claims of $10.4b on financial corporations through deposits and net equity in reserves of pension funds, which was offset by loan borrowings.
General government borrowed a net $8.6b from financial corporations predominantly through bond issuances.
Financial corporations borrowed a net $5.2b from rest of world primarily through deposit acceptances and debt security issuances. Foreign investors recorded net purchases of bonds issued by financial corporations. Rest of world borrowed from financial corporations through loans and equity issuances.
AT END OF JUNE QUARTER 2016
At the end of June quarter 2016, net claims on non-financial corporations were $973.6b from rest of world, $940.4b from financial corporations, $433.5b from the household sector and $324.7b from general government.
Net claims on financial corporations were $1,379.9b from the household sector, this was driven by net equity in reserves and deposit holdings.