Loans from nonresident banks (amounts outstanding) to GDP (%)

This indicator measures the proportion of outstanding loans sourced from banks located outside the borrower's country, contextualized against the nation's Gross Domestic Product (GDP). These offshore loans, typically found in low-tax jurisdictions, can offer significant financial and legal benefits, including favorable lending terms and reduced regulatory scrutiny. Analyzing this ratio provides insights into a country's reliance on external financial resources, reflecting both the attractiveness of local markets and potential vulnerabilities to shifts in global economic conditions. Data for this assessment is compiled from the Bank for International Settlements' Statistical Appendix, highlighting financial interactions across sectors. Understanding these dynamics is essential for evaluating the overall stability and resilience of the domestic economy amidst international financial flows. Source: