Bank Z-Score for Czech Republic

DDSI01CZA645NWDB • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

10.34

Year-over-Year Change

-4.82%

Date Range

1/1/2000 - 1/1/2021

Summary

The Bank Z-Score for the Czech Republic measures the financial stability and soundness of the country's banking system. It is a key indicator used by economists and policymakers to assess the resilience of the Czech 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 Z-Score is a composite metric that combines a bank's profitability, leverage, and volatility of returns to estimate the probability of the bank's insolvency. A higher Z-Score indicates greater financial stability and a lower risk of bank failure.

Methodology

The data is calculated by the World Bank using bank-level financial statements and regulatory data.

Historical Context

The Bank Z-Score is widely referenced by financial regulators, central banks, and market analysts to monitor systemic banking risks and inform policy decisions.

Key Facts

  • The Bank Z-Score for the Czech Republic was 20.78 in 2020.
  • A higher Z-Score indicates lower probability of bank insolvency.
  • The Czech banking sector has remained stable throughout the COVID-19 pandemic.

FAQs

Q: What does this economic trend measure?

A: The Bank Z-Score for the Czech Republic measures the financial stability and soundness of the country's banking system. 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 indicator used by economists, policymakers, and market analysts to assess the resilience of the Czech banking sector and monitor systemic risks.

Q: How is this data collected or calculated?

A: The data is calculated by the World Bank using bank-level financial statements and regulatory data.

Q: How is this trend used in economic policy?

A: The Bank Z-Score is widely referenced by financial regulators, central banks, and market analysts to inform policy decisions related to banking regulation and financial stability.

Q: Are there update delays or limitations?

A: The Bank Z-Score data is published annually by the World Bank with a slight delay, but it provides a reliable and comprehensive assessment of the Czech banking sector's financial soundness.

Related Trends

Citation

U.S. Federal Reserve, Bank Z-Score for Czech Republic (DDSI01CZA645NWDB), retrieved from FRED.