This table provides metadata for the actual indicator available from Turkey statistics closest to the corresponding global SDG indicator. Please note that even when the global SDG indicator is fully available from Turkey statistics, this table should be consulted for information on national methodology and other Turkey-specific metadata information.
| Target name | Improve the regulation and monitoring of global financial markets and institutions and strengthen the implementation of such regulations |
|---|---|
| Indicator name | Financial Soundness Indicators |
| Global / Proxy indicator | Global indicator |
| Description of indicator |
Financial Soundness Indicators (FSI) is a comprehensive set of indicators reported to the International Monetary Fund (IMF) by the supervisory agencies and central banks in member countries. Concepts of those identified in the sustainable development indicator set are noted below:
|
| Unit | % |
| Available disaggregation | - |
| Calculation |
Regulatory Tier 1 capital to assets: This FSI is calculated for banks on unconsolidated basis by dividing Tier 1 capital by total assets. Regulatory Tier 1 capital to risk-weighted assets: This FSI is calculated for banks on unconsolidated basis by dividing Tier 1 capital by total risk weighted assets. Capital adequacy ratio is one of the most basic indicator used in measuring the financial soundness of the banking sector. Non-performing loans net of provisions to capital: This FSI is calculated for banks on unconsolidated basis by taking the value of nonperforming loans (NPLs) less the value of specific loan provisions as the numerator and capital as the denominator. Capital is measured as total regulatory capital. This FSI is calculated on the unconsolidated basis and is an important indicator of the capacity of bank capital to withstand losses from NPLs. Non-performing loans to total gross loans: This FSI is calculated for banks on unconsolidated basis by using the value of NPLs as the numerator and the total value of the loan portfolio (including NPLs, and before the deduction of specific loan-loss provisions) as the denominator. This FSI is calculated on the unconsolidated basis and often used as a proxy for asset quality. Return on assets: This FSI is calculated for banks on unconsolidated basis by dividing net income before extraordinary items and taxes (as recommended in the FSI Guide) by the average value of total assets (financial and nonfinancial) over the same period. This FSI is calculated on the unconsolidated basis and is an indicator of bank profitability. Liquid assets to short-term liabilities: This FSI is calculated by using the liquid assets as the numerator and short-term liabilities as the denominator. It is used to evaluate the maturity mismatch between assets and liabilities. It is an indicator of the extent to which banks can meet the withdrawal in short term liabilities such as deposits without encountering liquidity problems. Net open position in foreign exchange to capital: This FSI is calculated for banks on unconsolidated basis by taking the difference between total foreign exchange assets and total foreign exchange liabilities as the numerator and total capital as the denominator. This ratio is an indicator of the balance between the foreign exchange assets and liabilities of banks and enables to compare their foreign currency position with total capital. |
| Comparability | Comparable over time. Produced in full compliance with global metadata |
| Revision | - |
| Other information | - |
| Data source | Banking Regulation and Supervision Agency (BRSA) |
| Data source link | https://data.imf.org/ |