This series is calculated by dividing net income before extraordinary items and taxes by the average value of capital over the same period. Capital is measured as total capital and reserves as reported in the sectoral balance sheet; for cross-border consolidated data, Tier 1 capital can also be used. This series is a bank profitability indicator and is intended to measure deposit takers efficiency in using their capital.
Copyright, 2014, International Monetary Fund. Reprinted with permission.
Source: International Monetary Fund
Release: Financial Soundness Indicators
International Monetary Fund, Return on Equity for Mexico© [RETEQTMXM163N], retrieved from FRED, Federal Reserve Bank of St. Louis https://research.stlouisfed.org/fred2/series/RETEQTMXM163N/, August 29, 2015.