Consolidated foreign claims of BIS reporting banks to GDP (%)

This financial metric represents the proportion of consolidated foreign claims held by banks reporting to the Bank for International Settlements relative to their country's GDP. Foreign claims encompass a myriad of financial interactions, including cross-border loans plus local claims by foreign affiliates in various currencies. Specifically, cross-border claims reflect direct lending to non-residents, whereas local claims capture the financial engagements of domestic banks' foreign branches with local residents in the host countries. By analyzing end-of-year statistics, typically from December, this ratio provides valuable insights into the global interconnectedness of banking institutions and their exposure to foreign markets, thereby highlighting economic dependencies and vulnerabilities within the global financial landscape. Data on GDP is sourced from World Development Indicators, facilitating a comprehensive understanding of the scale of these banking activities in relation to the national economy. Source: