Bank on it: Continued interest rate hikes will bolster industry revenue
Commercial Banking in Florida
Over the past five years, the Commercial Banking industry in Florida grew as demand for financial services increased. The low interest rate environment spurred consumer and business demand for credit, pushing loan volumes upward. As a result, the total value of loans and leases in Florida increased significantly, driving interest income growth. Additionally, general improvements to the economy have made the average borrower more creditworthy, positively influencing bank profit margins. Nevertheless, while the total value of loans has increased, interest income remains far below prerecession levels but will continue to grow as interest rates grow alongside loan volumes. Over the five years to 2022, commercial banks in Florida are expected to build on their growth from the previous period. Despite two rate hikes already implemented in 2017, rates remain low, which will likely continue to drive demand for industry services.
This industry comprises banks that provide financial services to retail and business clients in the form of commercial, industrial and consumer loans. Banks accept deposits from customers, which are used as sources of funding for loans. Banks in this industry are regulated by the Office of the Comptroller of the Currency.
This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.
Table of Contents
Companies Mentioned (Partial List)
A selection of companies mentioned in this report includes, but is not limited to:
- Wells Fargo & Company
- Bank of America Corporation
- JPMorgan Chase & Co.
- SunTrust Banks Inc.
Methodology
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