Euro area M3 and M1 growth rates decline in February

The euro area's broad monetary aggregate M3 saw its annual growth rate decline to 3.0 percent in February 2026, down from 3.2 percent in January.

This moderation was primarily driven by a slowdown in the narrower aggregate M1, which fell to 4.8 percent from 5.2 percent.

M1, comprising currency in circulation and overnight deposits, contributed 3.1 percentage points to M3 growth.

In contrast, short-term deposits other than overnight deposits (M2-M1) showed an increase in their annual growth rate, rising to 0.2 percent in February from a negative 0.6 percent in January.

Marketable instruments (M3-M2), however, experienced a significant decrease, moving from a positive 1.3 percent growth in January to a negative 1.3 percent in February.

Among deposit holders, households maintained a stable annual growth rate of 3.2 percent, while non-financial corporations saw an increase to 3.9 percent.

Deposits from investment funds, excluding money market funds, registered a notable decrease to 6.2 percent from 8.8 percent.

The annual growth rate of adjusted loans to the private sector in the euro area stood at 3.3 percent in February, a slight decrease from 3.4 percent in January.

Within this, adjusted loans to households remained stable at 3.0 percent, mirroring the previous month's rate.

This stability was observed across credit for consumption, lending for house purchase, and other lending categories.

For non-financial corporations, the annual growth rate of adjusted loans increased slightly to 2.9 percent in February from 2.8 percent in January, indicating a modest pick-up in corporate borrowing.

Claims on general government, however, saw a notable decrease in their annual growth rate, falling to 0.1 percent in February from 0.9 percent in January, contributing to an overall decline in total claims on euro area residents to 2.2 percent.