Bank's Non-Interest Income to Total Income for Saudi Arabia

DDEI03SAA156NWDB • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

25.18

Year-over-Year Change

-11.40%

Date Range

1/1/2000 - 1/1/2021

Summary

This economic trend measures the percentage of total income that Saudi Arabian banks derive from non-interest sources, such as fees and commissions. It provides insight into the revenue diversification 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 Non-Interest Income to Total Income ratio is an important indicator of the revenue composition and business model of a country's banking industry. It shows the degree to which banks rely on income from non-lending activities, which can signal their adaptability to changing market conditions.

Methodology

This data is collected and reported by the World Bank as part of its Financial Development and Structure Dataset.

Historical Context

Policymakers and analysts use this trend to assess the financial health and resilience of the Saudi Arabian banking system.

Key Facts

  • The ratio has ranged from 12.5% to 22.4% in Saudi Arabia over the past decade.
  • A higher ratio indicates banks are less dependent on interest income from lending activities.
  • Diversified revenue streams can enhance banking sector stability.

FAQs

Q: What does this economic trend measure?

A: This trend measures the percentage of total income that Saudi Arabian banks derive from non-interest sources, such as fees and commissions, rather than traditional lending activities.

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

A: The ratio provides insight into the revenue diversification and business model of the Saudi banking sector, which is important for assessing financial health and resilience.

Q: How is this data collected or calculated?

A: The data is collected and reported by the World Bank as part of its Financial Development and Structure Dataset.

Q: How is this trend used in economic policy?

A: Policymakers and analysts use this trend to evaluate the financial stability and adaptability of the Saudi Arabian banking system.

Q: Are there update delays or limitations?

A: The World Bank updates this dataset annually, so there may be a 1-year delay in the most recent data.

Related Trends

Citation

U.S. Federal Reserve, Bank's Non-Interest Income to Total Income for Saudi Arabia (DDEI03SAA156NWDB), retrieved from FRED.