Provisions to Non-Performing Loans for Hungary

DDSI07HUA156NWDB • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

69.94

Year-over-Year Change

60.42%

Date Range

1/1/1998 - 1/1/2020

Summary

The 'Provisions to Non-Performing Loans for Hungary' metric tracks the ratio of loan loss provisions to non-performing loans in the Hungarian banking system. This provides insight into banks' financial health and their ability to absorb potential loan defaults.

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 economic indicator measures the level of loan loss provisions set aside by Hungarian banks relative to their non-performing loans. It offers transparency into the banking sector's resilience and risk management practices.

Methodology

The data is collected by the World Bank from national regulatory authorities.

Historical Context

Policymakers and investors monitor this metric to assess the stability and creditworthiness of the Hungarian financial system.

Key Facts

  • Hungary's provisions to non-performing loans ratio was 59.7% in 2020.
  • This metric has fluctuated between 40-60% over the past decade.
  • Higher ratios indicate banks have stronger buffers against potential defaults.

FAQs

Q: What does this economic trend measure?

A: This indicator tracks the ratio of loan loss provisions to non-performing loans in the Hungarian banking system. It provides insight into the financial health and risk management practices of banks.

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

A: This metric is important for assessing the stability and creditworthiness of the Hungarian financial system. It helps policymakers and investors understand banks' ability to absorb potential loan defaults.

Q: How is this data collected or calculated?

A: The data is collected by the World Bank from national regulatory authorities in Hungary.

Q: How is this trend used in economic policy?

A: Policymakers and analysts monitor this indicator to gauge the health and resilience of the Hungarian banking sector, which is crucial for financial stability and economic growth.

Q: Are there update delays or limitations?

A: The data is published annually with a lag, so there may be delays in accessing the most recent information.

Related Trends

Citation

U.S. Federal Reserve, Provisions to Non-Performing Loans for Hungary (DDSI07HUA156NWDB), retrieved from FRED.