Annual banking loss report now published

  • 17 July 2018

Every year ORX produces a high-level summary of our global banking operational loss database, and we've just released the report for 2018. 

This year we've published our eighth global banking report, which examines trends in over 350,000 operational loss events between the years of 2012 and 2017. 

Totals

  • Our complete database now includes more than 630,000 events from nearly 100 banks, totalling more than €400bn in loss.
  • Between the time period examined (2012-2017), there were 358,669 reported loss events equating to €170bn in gross loss.

Average loss

  • Average loss in 2017 was €206,426, which was less than a third of the equivalent figure in 2012 of €664,510.
  • Core Banking business lines experienced losses equivalent to €3.34 per €100 of gross income in 2012. This fell to only €0.8 in 2017.
  • Trading and Investment business lines experienced losses equalling €7 per €100 of gross income in 2013. This fell to just €0.59 in 2017.

Event Types and Business Lines

  • Event type Clients, Products and Business Practices accounted for 67 per cent of total loss, which is equal to €104bn for the years 2012-2017.
  • Retail Banking was the business line with the most losses at €61.3bn. This is equal to 36 per cent of total losses for all business lines between 2012 and 2017.

Regions

  • North America incurred losses of €13.2bn in 2016, and this fell to €3.9bn in 2017.
  • Western Europe incurred losses of €9.8bn in 2016, and this fell to €4.5bn in 2017. 

 

To find out more, visit the project page and download the report below.

Download the report

Annual Banking Loss Report 2018

Find out more

If you want to know more, or would like to request previous versions of the report, please get in touch.

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