Malawi - Lending interest rate (%)

The latest value for Lending interest rate (%) in Malawi was 24.22 as of 2020. Over the past 41 years, the value for this indicator has fluctuated between 56.17 in 2001 and 16.50 in 1979.

Definition: Lending rate is the bank rate that usually meets the short- and medium-term financing needs of the private sector. This rate is normally differentiated according to creditworthiness of borrowers and objectives of financing. The terms and conditions attached to these rates differ by country, however, limiting their comparability.

Source: International Monetary Fund, International Financial Statistics and data files.

See also:

Year Value
1979 16.50
1980 16.67
1981 18.50
1982 18.50
1983 18.33
1984 16.50
1985 18.38
1986 19.00
1987 19.50
1988 22.25
1989 23.00
1990 21.00
1991 20.00
1992 22.00
1993 29.50
1994 31.00
1995 47.33
1996 45.33
1997 28.25
1998 37.67
1999 53.58
2000 53.13
2001 56.17
2002 50.54
2003 48.92
2004 36.83
2005 33.08
2006 32.25
2007 27.72
2008 25.28
2009 25.25
2010 24.63
2011 23.75
2012 32.33
2013 46.01
2014 44.29
2015 44.39
2016 44.11
2017 38.59
2018 32.29
2019 25.67
2020 24.22

Development Relevance: Both banking and financial systems enhance growth, the main factor in poverty reduction. At low levels of economic development commercial banks tend to dominate the financial system, while at higher levels domestic stock markets tend to become more active and efficient. The size and mobility of international capital flows make it increasingly important to monitor the strength of financial systems. Robust financial systems can increase economic activity and welfare, but instability can disrupt financial activity and impose widespread costs on the economy.

Limitations and Exceptions: Countries use a variety of reporting formats, sample designs, interest compounding formulas, averaging methods, and data presentations for indices and other data series on interest rates. The IMF's Monetary and Financial Statistics Manual does not provide guidelines beyond the general recommendation that such data should reflect market prices and effective (rather than nominal) interest rates and should be representative of the financial assets and markets to be covered. For more information, please see http://www.imf.org/external/pubs/ft/mfs/manual/index.htm.

Statistical Concept and Methodology: Many interest rates coexist in an economy, reflecting competitive conditions, the terms governing loans and deposits, and differences in the position and status of creditors and debtors. In some economies interest rates are set by regulation or administrative fiat. In economies with imperfect markets, or where reported nominal rates are not indicative of effective rates, it may be difficult to obtain data on interest rates that reflect actual market transactions. Deposit and lending rates are collected by the International Monetary Fund (IMF) as representative interest rates offered by banks to resident customers. The terms and conditions attached to these rates differ by country, however, limiting their comparability. In 2009 the IMF began publishing a new presentation of monetary statistics for countries that report data in accordance with its Monetary Financial Statistical Manual 2000. The presentation for countries that report data in accordance with its International Financial Statistics (IFS) remains the same.

Periodicity: Annual

Classification

Topic: Financial Sector Indicators

Sub-Topic: Interest rates