Bank's Cost to Income Ratio for Dominican Republic

DDEI07DOA156NWDB • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

63.40

Year-over-Year Change

-9.98%

Date Range

1/1/2000 - 1/1/2021

Summary

The Bank's Cost to Income Ratio for the Dominican Republic measures the operating expenses of banks as a percentage of their total income, providing insight into the efficiency and profitability 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 ratio is a key indicator of a banking system's operational efficiency, with lower ratios generally indicating greater productivity and profitability. Analysts and policymakers use this metric to assess the health and competitiveness of the Dominican Republic's financial industry.

Methodology

The data is collected and reported by the World Bank as part of its Development Indicators database.

Historical Context

The ratio is important for understanding the broader economic and regulatory environment impacting Dominican banks.

Key Facts

  • The ratio ranged from 61.9% to 70.4% between 2010-2020.
  • A lower ratio indicates greater bank profitability and operational efficiency.
  • The ratio is influenced by factors like interest rates, non-interest income, and overhead costs.

FAQs

Q: What does this economic trend measure?

A: The Bank's Cost to Income Ratio measures the operating expenses of banks as a percentage of their total income, providing insight into the efficiency and profitability of the banking sector.

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

A: This ratio is a key indicator of a banking system's operational efficiency, with lower ratios generally indicating greater productivity and profitability. Analysts and policymakers use this metric to assess the health and competitiveness of the Dominican Republic's financial industry.

Q: How is this data collected or calculated?

A: The data is collected and reported by the World Bank as part of its Development Indicators database.

Q: How is this trend used in economic policy?

A: The ratio is important for understanding the broader economic and regulatory environment impacting Dominican banks.

Q: Are there update delays or limitations?

A: The World Bank's Development Indicators database is updated annually, so there may be a delay in the most recent data being available.

Related Trends

Citation

U.S. Federal Reserve, Bank's Cost to Income Ratio for Dominican Republic (DDEI07DOA156NWDB), retrieved from FRED.