Private Credit by Deposit Money Banks and Other Financial Institutions to GDP for Portugal

DDDI12PTA156NWDB • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

97.64

Year-over-Year Change

-38.89%

Date Range

1/1/1960 - 1/1/2021

Summary

This economic trend measures the ratio of private credit provided by deposit money banks and other financial institutions to Portugal's GDP. It serves as an indicator of financial depth and the role of the financial sector in the economy.

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 private credit to GDP ratio tracks the volume of loans and other forms of credit extended to the private sector by banks and other financial institutions relative to the overall size of the Portuguese economy. This metric provides insights into the financial development and intermediation capacity of Portugal's financial system.

Methodology

The data is collected and calculated by the World Bank using information from national accounts and financial sector statistics.

Historical Context

This indicator is widely used by economists, policymakers, and investors to assess the financial health and growth potential of the Portuguese economy.

Key Facts

  • Portugal's private credit to GDP ratio was 91.4% in 2020.
  • The ratio peaked at 161.4% in 2009 before declining due to the global financial crisis.
  • A high private credit to GDP ratio can indicate a well-developed financial system but also financial stability risks.

FAQs

Q: What does this economic trend measure?

A: This trend measures the ratio of private credit provided by deposit money banks and other financial institutions to Portugal's GDP, indicating the depth and intermediation role of the financial sector.

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

A: This metric provides insights into the financial development and growth potential of the Portuguese economy, which is useful for economists, policymakers, and investors.

Q: How is this data collected or calculated?

A: The data is collected and calculated by the World Bank using information from national accounts and financial sector statistics.

Q: How is this trend used in economic policy?

A: This indicator is widely used by economists and policymakers to assess the financial health and stability of the Portuguese economy, which can inform policy decisions.

Q: Are there update delays or limitations?

A: The data is updated annually by the World Bank, and there may be some delays in the most recent year's figures being available.

Related Trends

Citation

U.S. Federal Reserve, Private Credit by Deposit Money Banks and Other Financial Institutions to GDP for Portugal (DDDI12PTA156NWDB), retrieved from FRED.