West Bank and Gaza Real Interest Rate
Real interest rate FR.INR.RINR
West Bank and Gaza's real interest rate was -3.12% in 2021, ranked 25th globally. This represents a 196.7% decrease from 2020. Data from World Bank, covering 2004–2021.
Overview
West Bank and Gaza's real interest rate stood at -3.12% in 2021, a decline of +6.34pp from 2020. West Bank and Gaza ranked 25th globally.
West Bank and Gaza’s real interest rate has fallen sharply from an all‑time peak of 12.76 % in 2004 to a trough of –8.39 % in 2008, before stabilising at –3.12 % in 2021, placing the territory at 25th lowest globally. The 2021 figure is marginally higher than Uruguay’s –3.26 % and Hungary’s –3.02 %, indicating a relatively accommodative monetary environment compared with those peers. The steep decline after 2004 reflects a combination of external debt pressures, fiscal deficits and the impact of regional political instability, which drove nominal rates down while inflation remained positive, resulting in negative real returns. Over the 18‑year coverage period, the persistent low‑rate stance has limited the incentive for private investment and constrained savings growth, contributing to slower capital formation. If fiscal consolidation and structural reforms succeed in reducing inflation volatility, the real interest rate could edge upward, potentially improving investment conditions and altering the current downward trajectory.
Data & projection
| Year | Real Interest Rate | YoY change | Rank |
|---|---|---|---|
| 2021 | -3.12% | −6.34pp | #25 |
| 2020 | 3.22% | +1.22pp | #30 |
| 2019 | 2.01% | −4.19pp | #17 |
| 2018 | 6.19% | +3.71pp | #71 |
| 2017 | 2.49% | −2.32pp | #46 |
| 2016 | 4.81% | −6.08pp | #54 |
| 2015 | 10.89% | +8.25pp | #97 |
| 2014 | 2.64% | +0.96pp | #25 |
| 2013 | 1.68% | −2.31pp | #17 |
| 2012 | 3.99% | +2.69pp | #53 |
| 2011 | 1.30% | +7.36pp | #46 |
| 2010 | -6.06% | −10.32pp | #10 |
| 2009 | 4.26% | +12.65pp | #38 |
| 2008 | -8.39% | −11.45pp | #12 |
| 2007 | 3.06% | +0.85pp | #55 |
Detected Pattern
Analysis
West Bank and Gaza matched the Export Boom Cycle pattern in 2008. Historically, 71% of countries showing this pattern (546 out of 768) saw real interest rate improve within 24 months. View full analysis →
Frequently Asked Questions
West Bank and Gaza's real interest rate was -3.12% in 2021. Ranked 25th globally. This represents a 196.7% decrease from the previous year.
West Bank and Gaza's real interest rate peaked at 12.76% in 2004.
The lowest real interest rate in West Bank and Gaza was -8.39% in 2008.
West Bank and Gaza ranks 25th globally in real interest rate as of 2021.
The World Bank indicator code is FR.INR.RINR. Data sourced from World Bank.
The real interest rate of West Bank and Gaza in 2021 was -3.12%. This ranks 25th in the world.
Cite this page
@misc{historysaid_west-bank-and-gaza_real-interest-rate,
title = {West Bank and Gaza Real Interest Rate},
url = {https://historysaid.com/west-bank-and-gaza/real-interest-rate/},
publisher = {HistorySaid},
year = {2026}
}