Bank's Net Interest Margin for Czech Republic

DDEI01CZA156NWDB • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

1.90

Year-over-Year Change

-42.85%

Date Range

1/1/2000 - 1/1/2021

Summary

The Bank's Net Interest Margin for the Czech Republic measures the difference between the interest income and interest expenses of banks, expressed as a percentage of their total assets. This metric is a key indicator of the profitability and efficiency of the banking 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 bank's net interest margin represents the difference between the average rate of interest earned on a bank's assets and the average rate of interest paid on its liabilities. It is a widely-used indicator of a banking system's financial health and competitiveness.

Methodology

The data is collected directly from the Czech National Bank.

Historical Context

Policymakers and analysts use this metric to assess the performance and stability of the Czech banking industry.

Key Facts

  • The Czech banking sector is highly concentrated, with the top 5 banks controlling over 70% of total assets.
  • The average bank net interest margin in the Czech Republic has hovered around 2-3% in recent years.
  • Lower net interest margins can put pressure on bank profits and lending activity.

FAQs

Q: What does this economic trend measure?

A: The Bank's Net Interest Margin for the Czech Republic measures the difference between the interest income and interest expenses of banks, expressed as a percentage of their total assets.

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

A: This metric is a key indicator of the profitability and efficiency of the Czech banking sector, which is important for assessing the overall health and competitiveness of the financial system.

Q: How is this data collected or calculated?

A: The data is collected directly from the Czech National Bank.

Q: How is this trend used in economic policy?

A: Policymakers and analysts use this metric to assess the performance and stability of the Czech banking industry, which is crucial for informing monetary policy and financial sector regulations.

Q: Are there update delays or limitations?

A: The data is published regularly by the Czech National Bank, with minimal update delays.

Related Trends

Citation

U.S. Federal Reserve, Bank's Net Interest Margin for Czech Republic (DDEI01CZA156NWDB), retrieved from FRED.