Preliminary international banking statistics, fourth quarter 2010

Statistical commentary on preliminary locational and consolidated banking statistics at end-December 2010 (PDF, 14 pages, 124 kb)

In the fourth quarter of 2010, BIS reporting banks' cross-border claims on other countries dropped by $423 billion (-1.4%) following an increase of 2.3% ($652 billion) in the third quarter. This decline was driven by a $575 billion reduction in claims vis-à-vis developed countries, in particular vis-à-vis counterparties in the euro area ($422 billion). In contrast, activity was more robust vis-à-vis counterparties in offshore centres (+$81 billion) and developing countries (+$91 billion). The overall decline was mainly focused on euro positions ($490 billion). Local claims in foreign currencies to residents in reporting countries receded by $29 billion and $32 billion in developed countries and in emerging markets respectively.

Estimated at constant exchange rates, reporting banks' consolidated international claims also decreased in the fourth quarter of 2010. On an ultimate risk basis, which adjusts for net risk transfers across borrowing countries, the largest contraction of banks' consolidated foreign claims was vis-à-vis other banks.

Data for the fourth quarter of 2010 are preliminary. Final data, with a detailed analysis of recent trends, will be published in the forthcoming BIS Quarterly Review, to be released on 6 June 2011.