Private Credit by Deposit Money Banks and Other Financial Institutions to GDP for Mozambique

DDDI12MZA156NWDB • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

22.62

Year-over-Year Change

13.11%

Date Range

1/1/1988 - 1/1/2021

Summary

This economic indicator tracks the ratio of private credit extended by banks and other financial institutions to Mozambique's GDP. It provides insights into the depth and development of the country's financial sector.

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 measure of financial intermediation, assessing the size of the private credit market relative to the overall economy. It is widely used by economists and policymakers to evaluate a country's financial development and access to credit.

Methodology

The data is collected and calculated by the World Bank based on financial sector and GDP statistics.

Historical Context

This indicator is relevant for assessing Mozambique's economic and financial stability, as well as the effectiveness of policies aimed at promoting private sector credit growth.

Key Facts

  • Mozambique's private credit to GDP ratio was 25.3% in 2020.
  • The ratio has increased from 13.5% in 2000, indicating financial sector growth.
  • Mozambique's ratio is lower than the global average, suggesting room for further financial deepening.

FAQs

Q: What does this economic trend measure?

A: This indicator measures the total value of credit extended to the private sector by banks and other financial institutions as a percentage of Mozambique's GDP.

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

A: The private credit to GDP ratio is a widely used metric for assessing the depth and development of a country's financial sector, which is crucial for economic growth and stability.

Q: How is this data collected or calculated?

A: The data is collected and calculated by the World Bank based on financial sector and GDP statistics.

Q: How is this trend used in economic policy?

A: Policymakers and economists use this indicator to evaluate the effectiveness of policies aimed at promoting private sector credit growth and overall financial sector development in Mozambique.

Q: Are there update delays or limitations?

A: The data is published annually by the World Bank, with a delay of approximately one year.

Related Trends

Citation

U.S. Federal Reserve, Private Credit by Deposit Money Banks and Other Financial Institutions to GDP for Mozambique (DDDI12MZA156NWDB), retrieved from FRED.