Solomon Islands - Domestic credit to private sector (% of GDP)

Domestic credit to private sector (% of GDP) in Solomon Islands was 32.36 as of 2020. Its highest value over the past 42 years was 39.30 in 1989, while its lowest value was 10.78 in 1978.

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
1978 10.78
1979 15.98
1980 19.52
1981 22.72
1982 21.66
1983 21.59
1984 24.26
1985 31.99
1986 32.97
1987 30.89
1988 34.51
1989 39.30
1990 19.10
1991 16.13
1992 16.81
1993 16.49
1994 13.80
1995 13.04
1996 14.01
1997 14.41
1998 15.04
1999 14.80
2000 16.59
2001 19.38
2002 18.66
2003 17.98
2004 16.90
2005 17.85
2006 21.24
2007 26.08
2008 28.03
2009 26.02
2010 21.78
2011 19.09
2012 19.62
2013 29.34
2014 31.62
2015 33.04
2016 34.24
2017 32.91
2018 31.49
2019 31.70
2020 32.36

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