Bank Lending Deposit Spread for Solomon Islands

DDEI02SBA156NWDB • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

10.19

Year-over-Year Change

-8.60%

Date Range

1/1/2010 - 1/1/2020

Summary

The Bank Lending Deposit Spread for Solomon Islands measures the difference between the average lending and deposit interest rates in the country. This key indicator provides insight into the health and competitiveness 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 lending deposit spread represents the difference between the interest rate charged by banks on loans and the interest rate paid to depositors. It is a metric used to analyze the efficiency and profitability of the banking system in a given economy.

Methodology

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

Historical Context

Policymakers and analysts use this indicator to assess the functioning of the financial sector and its ability to channel funds efficiently between savers and borrowers.

Key Facts

  • The spread has averaged 8.3 percentage points over the past decade.
  • Higher spreads can indicate less competition in the banking sector.
  • Reducing the spread is a common policy goal to promote financial inclusion.

FAQs

Q: What does this economic trend measure?

A: The Bank Lending Deposit Spread measures the difference between the average interest rate charged by banks on loans and the interest rate paid to depositors.

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

A: The spread is a key indicator of the efficiency and competitiveness of the banking sector, with implications for financial intermediation and economic growth.

Q: How is this data collected or calculated?

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

Q: How is this trend used in economic policy?

A: Policymakers and analysts use this indicator to assess the functioning of the financial sector and its ability to channel funds efficiently between savers and borrowers.

Q: Are there update delays or limitations?

A: The data is subject to the timeliness and accuracy of reporting by national authorities.

Related Trends

Citation

U.S. Federal Reserve, Bank Lending Deposit Spread for Solomon Islands (DDEI02SBA156NWDB), retrieved from FRED.