FRANKFURT (AFX) - Credit to the private sector grew 8.6 pct year-on-year in May, down from a revised growth rate of 9.1 pct in April. Loans to the private sector, which account for the bulk of private sector credit, grew 8.0 pct year-on-year, compared with a growth rate of 8.4 pct the month before. Credit to general government fell 3.2 pct year-on-year. Total credit to euro area residents -- which consists of private sector credit and credit to general government --- consequently grew 5.8 pct year-on-year in May. Month-on-month M3 rose a seasonally-adjusted 0.6 pct in May, after growing 0.7 pct in April, resulting in an average seasonally-adjusted month-on-month increase over the March-May period of 0.6 pct. The month-on-month figures are not adjusted for non-resident holdings of money market fund shares and units. Currency in circulation and overnight deposits (M1) rose 1.1 pct month-on-month, while other short-term deposits (M2-M1) fell 0.2 pct and marketable instruments (M3-M2) expanded 1.8 pct. Year-on-year M1 grew 1.9 pct in May, M2-M1 rose 4.0 pct and M3-M2 increased 15.1 pct.