Bank Capital to Total Assets for India

DDSI03INA156NWDB • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

8.10

Year-over-Year Change

11.01%

Date Range

1/1/1998 - 1/1/2020

Summary

The 'Bank Capital to Total Assets for India' trend measures the ratio of bank capital to total assets in India. This indicator provides insights into the financial health and stability of India's 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 capital to total assets ratio is a key financial metric that assesses the capital adequacy of banks. It represents the proportion of a bank's total assets that are funded by equity capital, rather than borrowed funds. This ratio is closely monitored by policymakers, regulators, and analysts to gauge the resilience of the banking system.

Methodology

The data is collected and calculated by the World Bank using information reported by national central banks and monetary authorities.

Historical Context

This indicator is widely used to evaluate the soundness and risk profile of India's banking industry, which is crucial for economic policymaking and financial stability.

Key Facts

  • India's bank capital to total assets ratio was 8.4% in 2020.
  • The ratio has fluctuated between 7-9% over the past decade.
  • Higher ratios indicate stronger bank capitalization and lower financial risk.

FAQs

Q: What does this economic trend measure?

A: The 'Bank Capital to Total Assets for India' trend measures the ratio of equity capital to total assets for banks operating in India. It provides an indicator of the capital adequacy and financial strength of the Indian banking sector.

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

A: This metric is highly relevant for evaluating the stability and resilience of India's banking system, which is crucial for economic policymaking, financial regulation, and investment decisions.

Q: How is this data collected or calculated?

A: The data is collected and calculated by the World Bank using information reported by India's central bank and monetary authorities.

Q: How is this trend used in economic policy?

A: Policymakers and regulators closely monitor the bank capital to total assets ratio to assess the health of the banking sector and inform policies aimed at promoting financial stability and resilience.

Q: Are there update delays or limitations?

A: The data is updated annually by the World Bank, with a potential delay of 1-2 years. The metric may not capture short-term fluctuations in bank capitalization.

Related Trends

Citation

U.S. Federal Reserve, Bank Capital to Total Assets for India (DDSI03INA156NWDB), retrieved from FRED.