Bank Concentration for Canada

DDOI01CAA156NWDB • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

60.75

Year-over-Year Change

-33.59%

Date Range

1/1/2000 - 1/1/2021

Summary

The Bank Concentration for Canada metric measures the percentage of total banking assets held by the three largest commercial banks in the country. This indicator provides insights into the degree of market consolidation in the Canadian 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 Concentration for Canada metric is a widely used indicator of the competitive structure of the banking industry. It is calculated as the ratio of the assets held by the three largest commercial banks to the total assets of the banking system. Higher levels of concentration may signal reduced competition and increased market power of major banks.

Methodology

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

Historical Context

Bank concentration levels are monitored by policymakers and analysts to assess financial stability and the effectiveness of competition policies.

Key Facts

  • Canada's bank concentration ratio was 65.5% in 2020.
  • The three largest banks hold over two-thirds of total banking assets in Canada.
  • Bank concentration has remained relatively stable in Canada over the past decade.

FAQs

Q: What does this economic trend measure?

A: The Bank Concentration for Canada metric measures the percentage of total banking assets held by the three largest commercial banks in the country.

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

A: Bank concentration levels are an important indicator of competition and market power in the financial sector, which is closely monitored by policymakers and analysts.

Q: How is this data collected or calculated?

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

Q: How is this trend used in economic policy?

A: Bank concentration levels are used by policymakers and institutions to assess financial stability and the effectiveness of competition policies in the banking industry.

Q: Are there update delays or limitations?

A: The data is published annually with a lag, so the most recent figures may not reflect the current state of the banking sector.

Related Trends

Citation

U.S. Federal Reserve, Bank Concentration for Canada (DDOI01CAA156NWDB), retrieved from FRED.