Israel Non-Performing Loans
Bank nonperforming loans as % of total gross loans FB.AST.NPER.ZS
Israel's non-performing loans was 0.50% in 2025, ranked 110th globally. This represents a 48.5% decrease from 2024. Data from World Bank, covering 2012–2025.
Overview
Israel's non-performing loans stood at 0.50% in 2025, a decline of +0.47pp from 2023. Based on recent trends, this figure is projected to reach 0.50% by 2025. Israel ranked 110th globally.
Israel’s non‑performing loan (NPL) ratio has fallen sharply over the 13‑year span covered, dropping from an all‑time peak of 3.45 % in 2012 to a trough of 0.50 % in 2025, the lowest level among the 110 economies tracked by the World Bank. The decline reflects a combination of robust credit‑risk management, a resilient banking sector and relatively modest exposure to external shocks during the post‑global‑financial‑crisis period. By 2025 Israel ranks 110th globally, with a ratio only marginally above Iceland’s 0.49 % and well below the United States at 0.71 %, underscoring a competitive standing among peers with similar financial structures. The sustained reduction suggests that banks have effectively tightened underwriting standards while maintaining credit growth, although any resurgence of geopolitical tension or a sharp slowdown in domestic demand could reverse the downward trajectory. Continued vigilance in loan‑portfolio monitoring will be essential to preserve the current low‑NPL environment.
Data & projection
| Year | Non-Performing Loans | YoY change | Rank |
|---|---|---|---|
| 2026* trend | 0.35% | - | - |
| 2025* trend | 0.50% | - | - |
| 2025 | 0.50% | −0.47pp | #110 |
| 2023 | 0.97% | +0.26pp | #8 |
| 2022 | 0.71% | −0.34pp | #7 |
| 2021 | 1.05% | −0.32pp | #13 |
| 2020 | 1.37% | −0.01pp | #15 |
| 2019 | 1.39% | +0.18pp | #18 |
| 2018 | 1.21% | −0.08pp | #16 |
| 2017 | 1.29% | −0.32pp | #17 |
| 2016 | 1.61% | −0.24pp | #22 |
| 2015 | 1.84% | −0.32pp | #29 |
| 2014 | 2.17% | −0.74pp | #33 |
| 2013 | 2.90% | −0.55pp | #45 |
| 2012 | 3.45% | – | #49 |
Detected Pattern
Analysis
Israel matched the Export Boom Cycle pattern in 2021. Historically, 71% of countries showing this pattern (546 out of 768) saw non-performing loans improve within 24 months. View full analysis →
Frequently Asked Questions
Israel's non-performing loans was 0.50% in 2025. Ranked 110th globally. This represents a 48.5% decrease from the previous year.
Israel's non-performing loans peaked at 3.45% in 2012.
The lowest non-performing loans in Israel was 0.50% in 2025.
Israel ranks 110th globally in non-performing loans as of 2025.
The World Bank indicator code is FB.AST.NPER.ZS. Data sourced from World Bank.
Israel's non-performing loans is projected to reach 0.50% by 2025 based on trend extrapolation.
The non-performing loans of Israel in 2025 was 0.50%. This ranks 110th in the world.
Cite this page
@misc{historysaid_israel_non-performing-loans,
title = {Israel Non-Performing Loans},
url = {https://historysaid.com/israel/non-performing-loans/},
publisher = {HistorySaid},
year = {2026}
}