Bank Z-Score for Panama

DDSI01PAA645NWDB • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

40.39

Year-over-Year Change

18.27%

Date Range

1/1/2000 - 1/1/2021

Summary

The Bank Z-Score for Panama measures the financial stability and soundness of the Panamanian banking sector. It is a key metric used by economists and policymakers to assess the health and resilience of the country's financial system.

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 Z-Score is a composite indicator that combines measures of bank capitalization, asset quality, and earnings to estimate the probability of bank insolvency. A higher z-score indicates greater bank stability and a lower likelihood of default.

Methodology

The data is calculated by the World Bank using financial information reported by Panamanian banks.

Historical Context

The Bank Z-Score is monitored by central banks, international organizations, and financial analysts to gauge financial system vulnerabilities and inform policy decisions.

Key Facts

  • The Bank Z-Score for Panama averaged 18.72 from 1999 to 2020.
  • A higher z-score indicates lower probability of bank insolvency.
  • Panama's z-score is higher than the global average, suggesting a stable banking sector.

FAQs

Q: What does this economic trend measure?

A: The Bank Z-Score for Panama measures the financial stability and soundness of the Panamanian banking sector. It estimates the probability of bank insolvency.

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

A: The Bank Z-Score is a key metric used by economists, policymakers, and financial analysts to assess the health and resilience of Panama's financial system.

Q: How is this data collected or calculated?

A: The data is calculated by the World Bank using financial information reported by Panamanian banks.

Q: How is this trend used in economic policy?

A: The Bank Z-Score is monitored by central banks, international organizations, and financial analysts to gauge financial system vulnerabilities and inform policy decisions.

Q: Are there update delays or limitations?

A: The Bank Z-Score data is published annually with a lag, so there may be a delay in reflecting the most recent financial conditions.

Related Trends

Citation

U.S. Federal Reserve, Bank Z-Score for Panama (DDSI01PAA645NWDB), retrieved from FRED.