IDA blend - Domestic credit to private sector (% of GDP)

Domestic credit to private sector (% of GDP) in IDA blend was 18.28 as of 2020. Its highest value over the past 60 years was 21.99 in 2008, while its lowest value was 7.56 in 1960.

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 7.56
1961 8.41
1962 10.40
1963 12.02
1964 13.92
1965 14.77
1966 16.27
1967 18.02
1968 17.80
1969 16.77
1970 14.14
1971 16.00
1972 15.96
1973 12.90
1974 10.05
1975 11.56
1976 12.43
1977 14.49
1978 16.12
1979 15.05
1980 15.68
1981 9.44
1982 10.52
1983 11.91
1984 12.91
1985 13.73
1986 16.98
1987 16.67
1988 16.64
1989 16.88
1990 15.02
1991 15.50
1992 16.44
1993 17.17
1994 17.41
1995 17.25
1996 16.69
1997 17.26
1998 17.56
1999 17.56
2000 15.67
2001 16.33
2002 16.61
2003 16.86
2004 16.94
2005 16.35
2006 15.76
2007 19.08
2008 21.99
2009 20.58
2010 17.02
2011 15.18
2012 14.61
2013 14.56
2014 15.82
2015 16.05
2016 17.48
2017 17.29
2018 16.97
2019 17.25
2020 18.28

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