Fragile and conflict affected situations - Domestic credit to private sector (% of GDP)

Domestic credit to private sector (% of GDP) in Fragile and conflict affected situations was 17.19 as of 2020. Its highest value over the past 60 years was 7,483.50 in 1960, while its lowest value was 8.94 in 1963.

Definition: Domestic credit to private sector refers to financial resources provided to the private sector by financial corporations, such as through loans, purchases of nonequity securities, and trade credits and other accounts receivable, that establish a claim for repayment. For some countries these claims include credit to public enterprises. The financial corporations include monetary authorities and deposit money banks, as well as other financial corporations where data are available (including corporations that do not accept transferable deposits but do incur such liabilities as time and savings deposits). Examples of other financial corporations are finance and leasing companies, money lenders, insurance corporations, pension funds, and foreign exchange companies.

Source: International Monetary Fund, International Financial Statistics and data files, and World Bank and OECD GDP estimates.

See also:

Year Value
1960 7,483.50
1961 6,787.33
1962 10.68
1963 8.94
1964 9.68
1965 9.61
1966 9.61
1967 10.05
1968 10.52
1969 10.10
1970 9.34
1971 9.67
1972 10.37
1973 10.83
1974 9.52
1975 12.23
1976 13.40
1977 15.69
1978 17.60
1979 15.67
1980 16.11
1981 11.10
1982 12.53
1983 14.21
1984 13.00
1985 12.86
1986 15.56
1987 13.98
1988 15.76
1989 12.30
1991 13.50
1992 14.47
1993 14.18
1994 12.98
1995 12.57
1996 12.32
1997 14.04
1998 14.61
1999 14.75
2000 13.26
2001 14.06
2002 13.59
2003 12.88
2004 11.74
2005 11.89
2006 12.37
2007 15.03
2008 16.31
2009 18.46
2010 16.50
2011 15.30
2012 16.25
2013 17.95
2015 18.24
2016 20.65
2017 19.60
2018 13.72
2020 17.19

Development Relevance: Private sector development and investment - tapping private sector initiative and investment for socially useful purposes - are critical for poverty reduction. In parallel with public sector efforts, private investment, especially in competitive markets, has tremendous potential to contribute to growth. Private markets are the engine of productivity growth, creating productive jobs and higher incomes. And with government playing a complementary role of regulation, funding, and service provision, private initiative and investment can help provide the basic services and conditions that empower poor people - by improving health, education, and infrastructure.

Limitations and Exceptions: Credit to the private sector may sometimes include credit to state-owned or partially state-owned enterprises.

Statistical Concept and Methodology: Credit is an important link in money transmission; it finances production, consumption, and capital formation, which in turn affect economic activity. The data on domestic credit provided to the private sector are taken from the financial corporations survey (line 52D) of the International Monetary Fund's (IMF) International Financial Statistics or, when unavailable, from its depository survey (line 32D). The banking sector includes monetary authorities (the central bank) and deposit money banks, as well as other financial corporations where data are available (including institutions that do not accept transferable deposits but do incur such liabilities as time and savings deposits). Examples of other financial corporations are finance and leasing companies, money lenders, insurance corporations, pension funds, and foreign exchange companies.

Aggregation method: Weighted average

Periodicity: Annual

Classification

Topic: Financial Sector Indicators

Sub-Topic: Assets