Total factoring volume to GDP (%)

This metric represents the proportion of total factoring transactions relative to a country's GDP, highlighting the significance of factoring as a financial instrument in the broader economic landscape. By utilizing GDP data sourced from the International Financial Statistics (IFS) and converting it into U.S. dollars through IFS exchange rates, this indicator provides a comprehensive view of how much of the economic activity is facilitated through factoring. A higher percentage may suggest a robust reliance on this form of financing, indicating greater access to working capital for businesses, whereas a lower percentage could reflect underutilization of factoring services. Analyzing this ratio can offer invaluable insights into the health of the financial sector and the overall economic development of a nation. Source: