Private Credit by Deposit Money Banks and Other Financial Institutions to GDP for Hong Kong SAR, China

DDDI12HKA156NWDB • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

260.01

Year-over-Year Change

67.29%

Date Range

1/1/1990 - 1/1/2021

Summary

This economic trend measures the private credit extended by deposit money banks and other financial institutions as a percentage of GDP in Hong Kong. It provides insight into the financial depth and intermediation in the Hong Kong economy.

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 private credit to GDP ratio is a key indicator of financial development and can signal the availability of credit for businesses and households. Economists and policymakers monitor this trend to assess the financial system's ability to support economic growth.

Methodology

The data is compiled by the World Bank from official national accounts and financial sector sources.

Historical Context

This metric is used to evaluate the role of the financial sector and credit conditions in Hong Kong's economic performance.

Key Facts

  • Hong Kong has one of the highest private credit to GDP ratios globally.
  • The ratio reached a peak of over 220% in 2016 before declining.
  • Credit extension is a key driver of Hong Kong's status as an international financial center.

FAQs

Q: What does this economic trend measure?

A: This trend measures the total value of credit provided by deposit money banks and other financial institutions to the private sector in Hong Kong, expressed as a percentage of the country's GDP.

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

A: The private credit to GDP ratio is a widely used indicator of financial development and the depth of credit markets. It provides insights into the role of the financial sector in supporting economic growth and activity.

Q: How is this data collected or calculated?

A: The data is compiled by the World Bank from official national accounts and financial sector sources.

Q: How is this trend used in economic policy?

A: Policymakers and economists monitor this metric to assess the availability of credit and the overall health of the financial system, which can inform decisions on monetary policy, financial regulation, and support for economic development.

Q: Are there update delays or limitations?

A: The data is published annually with a lag of approximately one year, so the most recent figures may not reflect the current economic conditions.

Related Trends

Citation

U.S. Federal Reserve, Private Credit by Deposit Money Banks and Other Financial Institutions to GDP for Hong Kong SAR, China (DDDI12HKA156NWDB), retrieved from FRED.