Business And Markets

LDR Down to 80% in March

LDR Down to 80% in March
LDR Down to 80% in March

Loans to deposit ratio stood at 80.2% in the last month of the previous fiscal year that ended on March 21, down 1 percentage compared to the preceding month.
The ratio, however, increased by 0.8 percentage point y/y, according to data released by Central Bank of Iran.
LDR is used to assess a bank's liquidity by comparing total loans to total deposits for a specific period and is expressed in percentage.
If the ratio is too high, the bank may not have enough liquidity to cover unforeseen fund requirements. Conversely, if it is too low, the bank may not be earning as much as it should be.


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