Risk premium on lending in Lesotho
Lesotho: Risk premium on lending was 4.3% in 2024. ▼ Falling
Risk premium on lending in Lesotho, 1993–2024
Source: International Financial Statistics database, International Monetary Fund (IMF). Measured in lending rate minus treasury bill rate, %.
Analysis
Lesotho recorded 4.3% for risk premium on lending in 2024.
That represents a change of up 16.0% on the previous year and down 0.1% over ten years.
Over the whole period, risk premium on lending in Lesotho peaked at 8.1% in 2000 and was at its lowest, 3.2%, in 1997.
That places Lesotho 42nd out of 85 countries with data for 2024, putting it in the middle of the range.
The long-run direction has been consistently falling across the 32 years of available data.
Risk premium on lending in Lesotho, year by year
| Year | lending rate minus treasury bill rate, % | Change |
|---|---|---|
| 1993 | 5.8% | — |
| 1994 | 4.8% | -17.5% |
| 1995 | 4.0% | -17.3% |
| 1996 | 3.8% | -3.8% |
| 1997 | 3.2% | -16.3% |
| 1998 | 4.6% | +43.6% |
| 1999 | 6.6% | +43.9% |
| 2000 | 8.1% | +21.9% |
| 2001 | 7.1% | -12.3% |
| 2002 | 5.8% | -18.4% |
| 2003 | 4.1% | -29.7% |
| 2004 | 3.9% | -4.8% |
| 2005 | 4.5% | +16.4% |
| 2006 | 5.3% | +17.8% |
| 2007 | 6.3% | +19.5% |
| 2008 | 6.4% | +1.9% |
| 2009 | 5.2% | -18.6% |
| 2010 | 5.0% | -5.0% |
| 2011 | 5.1% | +2.0% |
| 2012 | 4.7% | -8.4% |
| 2013 | 4.6% | -0.8% |
| 2014 | 4.3% | -6.0% |
| 2015 | 4.3% | -1.4% |
| 2016 | 4.9% | +13.8% |
| 2017 | 5.2% | +6.1% |
| 2018 | 4.9% | -5.6% |
| 2019 | 4.9% | +0.1% |
| 2020 | 4.7% | -3.6% |
| 2021 | 4.8% | +2.3% |
| 2022 | 3.8% | -21.0% |
| 2023 | 3.7% | -1.8% |
| 2024 | 4.3% | +16.0% |
Averages by decade
| Decade | Average | Lowest | Highest | Years |
|---|---|---|---|---|
| 1990s | 4.7% | 3.2% | 6.6% | 7 |
| 2000s | 5.7% | 3.9% | 8.1% | 10 |
| 2010s | 4.8% | 4.3% | 5.2% | 10 |
| 2020s | 4.3% | 3.7% | 4.8% | 5 |
Countries ranked near Lesotho
More financial sector data for Lesotho
- Net domestic credit (current LCU), per capita 1,569 current LCU per person (2024)
- Net domestic credit (current LCU), per unit of GDP 1.53 current LCU per US$ of GDP (2024)
- Net domestic credit (current LCU), annual growth rate -37.76 % change on previous year (2024)
- Gold reserves at 35 SDRs per ounce 0 SDR (2023)
- Gold reserves at market value 0 SDR (2023)
- Reserves excluding gold, foreign exchange 660.13 million SDR (2024)
- Reserves excluding gold 772.82 million SDR (2024)
- Total reserves (gold at market value) 772.82 million SDR (2024)
- Total reserves (gold at national valuation) 772.82 million SDR (2024)
- Total reserves (gold at national valuation) (SDR), per capita 330.63 SDR per person (2024)
Frequently asked questions
- What is risk premium on lending in Lesotho?
- Risk premium on lending in Lesotho was 4.3% in 2024, according to International Financial Statistics database, International Monetary Fund (IMF).
- What is the highest risk premium on lending recorded in Lesotho?
- The highest recorded value was 8.1% in 2000.
- What is the lowest risk premium on lending recorded in Lesotho?
- The lowest recorded value was 3.2% in 1997.
- How does Lesotho rank for risk premium on lending?
- Lesotho ranks 42nd out of 85 countries with data for 2024.
- Is risk premium on lending rising or falling in Lesotho?
- Over the last ten years it is down 0.1%. The long-run trend across the full record is falling.
- Where does this Lesotho data come from?
- The figures come from International Financial Statistics database, International Monetary Fund (IMF), published as part of Risk premium on lending (lending rate minus treasury bill rate, %). Statizoid updates them automatically from the source API.
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About this data
Risk premium on lending is the interest rate charged by banks on loans to private sector customers minus the "risk free" treasury bill interest rate at which short-term government securities are issued or traded in the market. In some countries this spread may be negative, indicating that the market considers its best corporate clients to be lower risk than the government. The terms and conditions attached to lending rates differ by country, however, limiting their comparability.