Bank Concentration for Nigeria

DDOI01NGA156NWDB • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

59.32

Year-over-Year Change

-23.99%

Date Range

1/1/2000 - 1/1/2021

Summary

The Bank Concentration for Nigeria indicator measures the degree of concentration in a country's banking sector. This metric is important for economists and policymakers to assess financial system stability and competition.

Analysis & Context

This economic indicator provides valuable insights into current market conditions and economic trends. The data is updated regularly by the Federal Reserve and represents one of the most reliable sources for economic analysis.

Understanding this metric helps economists, policymakers, and investors make informed decisions about economic conditions and future trends. The interactive chart above allows you to explore historical patterns and identify key trends over time.

About This Dataset

The Bank Concentration indicator calculates the assets of the three largest banks as a percentage of total commercial banking assets in a given country. It provides insight into the market power and dominance of major financial institutions.

Methodology

The data is collected and reported annually by the World Bank.

Historical Context

Policymakers use this metric to monitor banking sector competition and risks.

Key Facts

  • Nigeria's bank concentration ratio was 58.8% in 2020.
  • A higher concentration ratio indicates less competition in the banking sector.
  • Excessive concentration can increase systemic risk and reduce access to credit.

FAQs

Q: What does this economic trend measure?

A: The Bank Concentration for Nigeria indicator measures the share of total banking assets held by the three largest banks in the country.

Q: Why is this trend relevant for users or analysts?

A: The bank concentration ratio is an important metric for assessing the competitiveness and stability of a nation's financial system.

Q: How is this data collected or calculated?

A: The data is collected and reported annually by the World Bank.

Q: How is this trend used in economic policy?

A: Policymakers monitor bank concentration to evaluate financial sector competition and risks, and to inform regulatory decisions.

Q: Are there update delays or limitations?

A: The data is published annually, so there may be a delay of up to one year in the most recent figures.

Related Trends

Citation

U.S. Federal Reserve, Bank Concentration for Nigeria (DDOI01NGA156NWDB), retrieved from FRED.