Non-monetary financial institutions consist of banks other than deposit money banks, insurance companies, pension funds, and supraannuation funds. Their liabilities are normally not accepted as a means of payment. However, they can play a significant role in the distribution of credit from the financial sector to the rest of the economy.
Non-monetary financial institutions can be divided into 'other banklike institutions' and 'non-bank financial institutions. This distinction is interesting whenever some non-monetary financial institutions is alike deposit money banks in all other respects except for the provision of quasi money. This distinction might also be useful from more practical point of view, reasonable current and complete data are usually available for 'other banklike institutions', while data for 'non-bank financial institutions' is either fragmentary, non-current, or non-existing.
Consolidated balance sheet data for non-monetary financial institutions are presented in essentially the same way as for deposit money banks, however, a few alterations are necessary to reflect differences between the to classes of institutions.
Analytical balance sheet of the non-monetary financial institutions
Reserves of the non-monetary financial institutions are broader defined than reserves of the deposit money banks, and consists of claims on monetary authorities (e.g., money) as well as claims on deposit money banks (e.g., demand and time deposits).
Domestic credit consists on claims on government and other domestic sectors – non-financial public enterprises, monetary financial institutions, private businesses, households, and nonprofit institutions. These claims on domestic sectors include bills, loans, advances, and credits. Deposits with monetary financial institutions are included as reserves.
Deposits of non-monetary financial institutions comprise time, savings and foreign currency deposits. (Excluded are demand deposits in banks that can be drawn upon using checks, ATM etc.) Domestic sectors as well as nonresidents can hold these deposits.
Bonds and money market instruments are examples of obligations that can be issued by non-monetary financial institutions. These obligations are less liquid than time, savings and foreign currency deposits. Domestic sectors as well as nonresidents can hold these obligations.
Credit from monetary survey comprises borrowed cash (loans) from the monetary authorities and/or deposit money banks.
Other items, net comprises other unclassified balance sheet items. Included is also any statistical discrepancy.
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