Table 1

Summary of projected effects of various macroeconomic variables on bank performance indicators

Macroeconomic variableBank performance indicatorProjected effects
Return on assets
Macroeconomic uncertainty Negative
Inflation uncertainty Negative
Recessionary probability Negative
Inflation expectations Negative
Inflation Negative
Return on equity
Macroeconomic uncertainty Negative
Inflation uncertainty Negative
Recessionary probability Negative
Inflation expectations Negative
Inflation Negative
NIM (proxy for Bank Efficiency)
Macroeconomic uncertainty Positive
Inflation uncertainty Positive
Recessionary probability Positive
Inflation expectations Positive
Inflation Positive

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