Rise in the money supply

TIRANA, Oct. 24 – The M3 money supply has increased by 10.4 percent compared to last year. An increase of 3.1 percent was reported for August from the central Bank of Albania, the primary institution that regulates monetary policy through operations affecting the money supply. The M3 money supply definition is the broadest economic category that includes diverse deposit types. The news comes in a time when the bank also reported an inflationary pressure that has resulted in a 3.1 percent rise in the inflation. This figure surpasses by one point the target rate established by the bank itself and negatively affects investment. One of the possible cases is reported to be the surplus of public funds, an outcome of unrealized public investments such as infrastructure projects.