Bank Lending Deposit Spread for Israel

DDEI02ILA156NWDB • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

2.81

Year-over-Year Change

-9.32%

Date Range

1/1/2013 - 1/1/2020

Summary

The Bank Lending Deposit Spread for Israel measures the difference between the lending and deposit interest rates in the Israeli banking system. This spread is a key indicator of banking sector profitability and financial intermediation efficiency.

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 lending deposit spread represents the difference between the average rate banks charge for loans and the average rate paid on deposits. It is an important metric for assessing the competitiveness and health of the domestic banking industry.

Methodology

The data is compiled by the World Bank from national central bank sources.

Historical Context

Policymakers and analysts use this spread to evaluate the functioning of the financial sector and its impact on economic growth.

Key Facts

  • The spread averaged 2.78 percentage points in 2021.
  • The spread has trended downward since the early 2000s.
  • A narrower spread indicates more competitive banking conditions.

FAQs

Q: What does this economic trend measure?

A: The Bank Lending Deposit Spread for Israel measures the difference between the average interest rate banks charge for loans and the average rate paid on deposits.

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

A: The lending deposit spread is a key indicator of banking sector profitability and the efficiency of financial intermediation, which are important for economic growth.

Q: How is this data collected or calculated?

A: The data is compiled by the World Bank from national central bank sources.

Q: How is this trend used in economic policy?

A: Policymakers and analysts use this spread to evaluate the functioning of the financial sector and its impact on the broader economy.

Q: Are there update delays or limitations?

A: The data is updated annually with a lag, so there may be delays in reflecting the most recent economic conditions.

Related Trends

Citation

U.S. Federal Reserve, Bank Lending Deposit Spread for Israel (DDEI02ILA156NWDB), retrieved from FRED.