This economic indicator represents a nuanced approach to assessing the contribution of financial intermediation services that are not explicitly billed to users, reflecting the implicit costs associated with these services. It captures the value of financial activities such as loans and deposits, where the benefits are realized through interest rate differentials rather than direct fees. Such a metric provides a comprehensive view of the sector's output, facilitating a better understanding of how financial institutions enhance overall economic productivity. Despite international guidelines suggesting a breakdown of these services into intermediate and final consumption, many nations still default to a broad adjustment in value added, revealing the complexities and variances in accounting practices across different economies. This suggests a need for improved methodologies in quantifying financial services' true economic impact. Source: