Provisions to Non-Performing Loans for Philippines

DDSI07PHA156NWDB • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

65.89

Year-over-Year Change

5.43%

Date Range

1/1/1998 - 1/1/2020

Summary

The 'Provisions to Non-Performing Loans for Philippines' metric tracks the level of loan loss provisions set aside by banks in the Philippines to cover potential defaults or non-performing loans. This statistic is a key indicator of financial sector health and lending risk.

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 indicator represents the ratio of provisions for non-performing loans to total non-performing loans in the Philippine banking system. It provides insight into how well-capitalized banks are to absorb potential credit losses and maintain financial stability.

Methodology

The data is collected and reported by the World Bank from national statistical sources.

Historical Context

Policymakers and analysts use this metric to assess credit risk, lending practices, and the overall resilience of the Philippine financial system.

Key Facts

  • The ratio ranged from 51.7% to 91.5% between 2005-2020.
  • Provisions represent 68.7% of non-performing loans on average.
  • Higher ratios indicate stronger bank capitalization to absorb defaults.

FAQs

Q: What does this economic trend measure?

A: This metric tracks the level of loan loss provisions set aside by banks in the Philippines to cover potential defaults or non-performing loans.

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

A: This indicator provides insight into the health and capitalization of the Philippine banking system, which is crucial for assessing credit risk and financial stability.

Q: How is this data collected or calculated?

A: The data is collected and reported by the World Bank from national statistical sources.

Q: How is this trend used in economic policy?

A: Policymakers and analysts use this metric to assess credit risk, lending practices, and the overall resilience of the Philippine financial system.

Q: Are there update delays or limitations?

A: The data is published with a lag, and may have limited coverage or definitions that vary across countries.

Related Trends

Citation

U.S. Federal Reserve, Provisions to Non-Performing Loans for Philippines (DDSI07PHA156NWDB), retrieved from FRED.