Bank Credit to Bank Deposits for El Salvador

DDSI04SVA156NWDB • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

92.15

Year-over-Year Change

-2.05%

Date Range

1/1/1965 - 1/1/2021

Summary

The 'Bank Credit to Bank Deposits for El Salvador' trend measures the ratio of bank credit to bank deposits in the Salvadoran financial system. This indicator provides insight into the liquidity and stability 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 metric represents the relationship between a country's total bank loans and total bank deposits. It is used by economists and policymakers to assess the soundness and intermediation capacity of the banking system.

Methodology

The data is compiled by the World Bank from national accounts and balance of payments statistics.

Historical Context

Monitoring this ratio is important for evaluating financial sector policies and vulnerabilities.

Key Facts

  • The current ratio for El Salvador is 0.90.
  • Ratios over 1.0 indicate more loans than deposits.
  • Higher ratios signal greater financial sector risk.

FAQs

Q: What does this economic trend measure?

A: This trend measures the ratio of total bank credit to total bank deposits in the Salvadoran financial system.

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

A: The bank credit-to-deposit ratio is an important indicator of banking sector liquidity and stability, which is crucial for economic and financial system analysis.

Q: How is this data collected or calculated?

A: The data is compiled by the World Bank from national accounts and balance of payments statistics.

Q: How is this trend used in economic policy?

A: Policymakers monitor this ratio to assess the health and intermediation capacity of the banking system, which informs financial sector policies and regulations.

Q: Are there update delays or limitations?

A: The data is published annually with a lag, so it may not reflect the most recent changes in the Salvadoran banking sector.

Related Trends

Citation

U.S. Federal Reserve, Bank Credit to Bank Deposits for El Salvador (DDSI04SVA156NWDB), retrieved from FRED.