Home → Tonga → Money → Non-Performing Loans

Tonga Non-Performing Loans

Bank nonperforming loans as % of total gross loans  FB.AST.NPER.ZS

Tonga's non-performing loans was 14.18% in 2025, ranked 12th globally. This represents a 26.8% increase from 2024. Data from World Bank, covering 2012–2025.

14.18% +2.99pp (+26.8%)
Year 2025 Rank #12 Global Peak 14.37% (2012) Source World Bank

Tonga Non-Performing Loans (2012–2025)

Overview

Tonga's non-performing loans stood at 14.18% in 2025, a rise of +2.99pp from 2023. Based on recent trends, this figure is projected to reach 14.18% by 2025. Tonga ranked 12th globally.

Tonga's non-performing loans have remained a persistent issue, with a relatively high ratio of 14.18% as of 2025, ranking 12th globally. Notably, this figure peaked in 2012 at 14.37%, coinciding with the global financial crisis, while the all-time trough was recorded in 2019 at 3.22%, indicating some improvement in loan management. A comparison with peer countries reveals that Sri Lanka's non-performing loans ratio is slightly higher at 14.33%, while Dominica's ratio is lower at 13.26%. The relatively high and stable non-performing loans ratio in Tonga suggests a persistent challenge for the country's financial sector. A continued improvement in loan management and credit risk assessment could help reduce this ratio and alleviate financial stability concerns. However, a further deterioration in the global economy or a decline in Tonga's economic growth could exacerbate the issue, necessitating more stringent credit policies and potentially hindering economic development.

Data & projection

Year Non-Performing Loans YoY change Rank
2026* trend 16.23% - -
2025* trend 14.18% - -
2025 14.18% +2.99pp #12
2023 11.18% +2.92pp #91
2022 8.26% +4.76pp #109
2021 3.50% −0.16pp #65
2020 3.65% +0.43pp #60
2019 3.22% −0.36pp #62
2018 3.58% −0.10pp #70
2017 3.68% −0.61pp #67
2016 4.30% −3.42pp #65
2015 7.71% −2.77pp #91
2014 10.48% −0.13pp #97
2013 10.61% −3.77pp #98
2012 14.37% – #107
* Linear trend extrapolation

Detected Pattern

Fiscal Dominance Trap
Government debt exceeding 80% of GDP with real interest rates negative and inflation above 10%. Monetary policy effectiveness impaired by fiscal pressures.
Inflation 11.0% Real rate -1.2%
Occurred 386 times, 278 successful
Inflation
28.2%
Real rate
-4.2%
Inflation
219.9%
Real rate
-47.4%
Inflation
28.3%
Real rate
-7.0%
Inflation
91.4%
Real rate
-26.9%
Inflation
13.6%
Real rate
-0.9%
Inflation
133.5%
Real rate
-17.3%

Analysis

Tonga matched the Fiscal Dominance Trap pattern in 2022. Historically, 72% of countries showing this pattern (278 out of 386) saw non-performing loans improve within 24 months. View full analysis →

Frequently Asked Questions

What is Tonga's non-performing loans?▾

Tonga's non-performing loans was 14.18% in 2025. Ranked 12th globally. This represents a 26.8% increase from the previous year.

What was the highest non-performing loans in Tonga?▾

Tonga's non-performing loans peaked at 14.37% in 2012.

What was the lowest non-performing loans in Tonga?▾

The lowest non-performing loans in Tonga was 3.22% in 2019.

How does Tonga rank in non-performing loans?▾

Tonga ranks 12th globally in non-performing loans as of 2025.

What is the World Bank indicator code for non-performing loans?▾

The World Bank indicator code is FB.AST.NPER.ZS. Data sourced from World Bank.

What is the projected non-performing loans of Tonga in 2025?▾

Tonga's non-performing loans is projected to reach 14.18% by 2025 based on trend extrapolation.

What is the non-performing loans of Tonga in 2025?▾

The non-performing loans of Tonga in 2025 was 14.18%. This ranks 12th in the world.

Cite this page

APA
Tonga Non-Performing Loans. HistorySaid. Retrieved November 14, 2026, from https://historysaid.com/tonga/non-performing-loans/
BibTeX
@misc{historysaid_tonga_non-performing-loans, title = {Tonga Non-Performing Loans}, url = {https://historysaid.com/tonga/non-performing-loans/}, publisher = {HistorySaid}, year = {2026} }
Part of the Kavela network · Where to watch movies, series & football globally → StreamWatchHub