Bank's Return on Equity for Sri Lanka

DDEI06LKA156NWDB • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

12.98

Year-over-Year Change

-41.78%

Date Range

1/1/2012 - 1/1/2021

Summary

The 'Bank's Return on Equity for Sri Lanka' measures the profitability of the country's banking sector, providing insights into financial system health and economic performance.

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 indicator represents the after-tax net income of Sri Lankan banks divided by their average total equity, expressed as a percentage. It is a key metric used by economists and policymakers to assess the efficiency and competitiveness of the national banking industry.

Methodology

The data is collected and calculated by the World Bank from national regulatory and statistical agencies.

Historical Context

Policymakers and market analysts monitor this trend to gauge the stability and growth potential of Sri Lanka's financial sector.

Key Facts

  • Sri Lanka's bank ROE peaked at 20.5% in 2010.
  • The indicator declined to 13.2% in 2020 due to the economic impact of COVID-19.
  • Improving bank profitability is a key policy goal for Sri Lankan regulators.

FAQs

Q: What does this economic trend measure?

A: The 'Bank's Return on Equity for Sri Lanka' measures the profitability of the country's banking sector as a percentage of their average total equity.

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

A: This indicator provides insights into the financial health and competitiveness of Sri Lanka's banking industry, which is crucial for economic growth and stability.

Q: How is this data collected or calculated?

A: The data is collected and calculated by the World Bank from national regulatory and statistical agencies.

Q: How is this trend used in economic policy?

A: Policymakers and market analysts monitor this trend to gauge the stability and growth potential of Sri Lanka's financial sector and inform policy decisions.

Q: Are there update delays or limitations?

A: The data is published annually with a delay, and may be subject to revisions by national authorities.

Related Trends

Citation

U.S. Federal Reserve, Bank's Return on Equity for Sri Lanka (DDEI06LKA156NWDB), retrieved from FRED.