Bank's Net Interest Margin for Luxembourg

DDEI01LUA156NWDB • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

0.90

Year-over-Year Change

3.13%

Date Range

1/1/2000 - 1/1/2021

Summary

The Bank's Net Interest Margin for Luxembourg measures the difference between the interest income and interest expense of banks in Luxembourg, providing insight into the profitability of the country's 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 is a key metric used to evaluate the financial performance of banks. It represents the spread between the interest rates banks charge on loans and the rates they pay on deposits, which is a major source of their revenue.

Methodology

This data is collected and reported by the World Bank based on financial statements from banks operating in Luxembourg.

Historical Context

The net interest margin is closely monitored by policymakers and market analysts to assess the health and competitiveness of the banking industry.

Key Facts

  • Luxembourg has a highly developed and globally integrated banking sector.
  • The net interest margin in Luxembourg has declined in recent years due to low interest rates.
  • Maintaining a healthy net interest margin is crucial for banks to remain profitable and sustainable.

FAQs

Q: What does this economic trend measure?

A: The Bank's Net Interest Margin for Luxembourg measures the difference between the interest income and interest expense of banks operating in the country.

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

A: The net interest margin is a key indicator of the profitability and financial health of the banking sector, which is crucial for economic stability and growth.

Q: How is this data collected or calculated?

A: The data is collected and reported by the World Bank based on financial statements from banks operating in Luxembourg.

Q: How is this trend used in economic policy?

A: Policymakers and market analysts closely monitor the net interest margin to assess the competitiveness and overall performance of the banking industry, which has important implications for the broader economy.

Q: Are there update delays or limitations?

A: The data is published annually by the World Bank, so there may be a delay in the most recent information being available.

Related Trends

Citation

U.S. Federal Reserve, Bank's Net Interest Margin for Luxembourg (DDEI01LUA156NWDB), retrieved from FRED.