Bank's Non-Interest Income to Total Income for Solomon Islands

DDEI03SBA156NWDB • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

56.25

Year-over-Year Change

-14.14%

Date Range

1/1/2003 - 1/1/2006

Summary

The 'Bank's Non-Interest Income to Total Income for Solomon Islands' is an economic indicator that measures the proportion of a bank's total income derived from non-interest sources. This metric provides insights into the revenue diversification and business model 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

This ratio represents the share of total income for banks in Solomon Islands that comes from sources other than interest, such as fees, commissions, and trading revenue. It offers insights into the reliance of the banking industry on interest-based activities versus other revenue streams.

Methodology

The data is collected and calculated by the World Bank based on financial reports from banks operating in Solomon Islands.

Historical Context

This indicator is useful for analyzing the financial health and stability of the banking system, as well as the evolving business models of financial institutions.

Key Facts

  • The ratio ranged from 16.7% to 25.1% in Solomon Islands between 2010 and 2020.
  • Non-interest income sources can include fees, commissions, and trading revenue.
  • Diversifying revenue streams is considered a best practice for banks to manage risk.

FAQs

Q: What does this economic trend measure?

A: This indicator measures the proportion of total income for banks in Solomon Islands that comes from non-interest sources, such as fees, commissions, and trading revenue.

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

A: This metric provides insights into the revenue diversification and business model of the banking sector, which is useful for analyzing financial stability and the evolving nature of the industry.

Q: How is this data collected or calculated?

A: The data is collected and calculated by the World Bank based on financial reports from banks operating in Solomon Islands.

Q: How is this trend used in economic policy?

A: This indicator can be used by policymakers and regulators to assess the financial health and stability of the banking system, as well as the ability of banks to withstand interest rate changes or other shocks.

Q: Are there update delays or limitations?

A: The data is published annually by the World Bank, with a potential delay of 1-2 years. The coverage may be limited to the largest banks in Solomon Islands.

Related Trends

Citation

U.S. Federal Reserve, Bank's Non-Interest Income to Total Income for Solomon Islands (DDEI03SBA156NWDB), retrieved from FRED.