As of December 2024, JPMorgan Chase Bank led U.S. financial institutions with the highest Tier 1 capital, a key measure of a bank's financial strength. Tier 1 capital, comprising core capital including equity and disclosed reserves, is a crucial indicator of a bank's ability to absorb potential losses. JPMorgan Chase's Tier 1 capital surpassed *** billion U.S. dollars in the fourth quarter of 2024, cementing its position as the most well-capitalized bank in the United States. Additionally, the banking giant boasted the highest Tier 1 capital ratio among its American peers, further underscoring its robust financial health. What is the Tier 1 capital ratio? The Tier 1 capital ratio is a critical metric for assessing a bank's resilience to financial stress. It's calculated by dividing a bank's core capital by its total risk-weighted assets, with regulatory requirements mandating a minimum ratio of *** percent. As of 2023, the largest U.S. banks significantly exceeded this threshold. JPMorgan Chase led with a ratio of **** percent, closely followed by Citibank at ***** percent, while Bank of America maintained a strong position at **** percent. These ratios demonstrate the robust capital positions of major American financial institutions, indicating their strong capacity to withstand potential economic downturns or financial shocks. The leading banks in the U.S. The U.S. banking sector is dominated by four major institutions, commonly known as "the big four": JPMorgan Chase, Bank of America, Wells Fargo, and Citigroup. JPMorgan Chase stands out as the leader among these financial giants. It holds the top position across several key metrics, including market capitalization, total assets, investment banking revenue, and net income. This comprehensive leadership underscores JPMorgan Chase's dominant role in the American financial landscape and its significant influence on the global banking industry.

In the fourth quarter of 2024, TD Bank's U.S. operations distinguished itself with the highest common equity tier 1 (CET1) capital ratio among major U.S. banks by total assets. The bank's CET1 ratio of 16.65 percent significantly surpassed the regulatory minimum of 4.5 percent. By comparison, JPMorgan Chase, the largest U.S. bank, recorded a CET1 ratio of 15.68 percent during the same period. What is CET1 capital ratio? The Basel III framework, established by the Basel Committee on Banking Supervision, sets international standards for bank capital requirements to ensure global financial stability. Developed in response to the 2007-2009 financial crisis, these regulations require banks to maintain adequate capital to withstand unexpected losses and economic downturns. The framework mandates a total capital requirement of eight percent of risk-weighted assets, with Common Equity Tier 1 (CET1) - the highest quality capital - comprising at least 4.5 percent of that total. In 2024, JPMorgan Chase had the highest Tier 1 capital among all banks in the United States. Worldwide Tier 1 capital levels of banks JPMorgan Chase, while leading U.S. banks in Tier 1 capital, ranked fifth globally in 2023. Four Chinese banks outperformed it: Industrial and Commercial Bank of China (ICBC), China Construction Bank, Agricultural Bank of China, and Bank of China. Among these, ICBC emerged as the world's top bank in Tier 1 capital.

In 2022, Zenith Bank was the leading banking service provider in Nigeria in terms of tier 1 capital, as the latter reached an approximate value of 2.58 billion U.S. dollars. The financial institution was also the leading bank in West Africa with respect to its capital. Access Bank and First Bank of Nigeria followed, with their tier 1 capital amounting to around 2.4 billion U.S. dollars and 2.22 billion U.S. dollars, respectively.

In 2023, the Industrial and Commercial Bank of China (ICBC) ranked as the world's largest bank by Tier 1 capital, with approximately 523.4 billion U.S. dollars. ICBC was followed by three other Chinese banks. JPMorgan Chase secured fifth place, holding 277.31 billion U.S. dollars in Tier 1 capital.

Switzerland All Banks: Tier 1 Capital data was reported at 79,808.931 CHF mn in Jun 2018. This records an increase from the previous number of 78,615.211 CHF mn for Dec 2017. Switzerland All Banks: Tier 1 Capital data is updated semiannually, averaging 81,676.125 CHF mn from Jun 2013 (Median) to Jun 2018, with 11 observations. The data reached an all-time high of 102,249.500 CHF mn in Jun 2015 and a record low of 77,085.465 CHF mn in Dec 2016. Switzerland All Banks: Tier 1 Capital data remains active status in CEIC and is reported by Swiss National Bank. The data is categorized under Global Database’s Switzerland – Table CH.KB021: Banks Capital Adequacy: Basel III.

HSBC had the highest amount of Tier 1 capital among the five largest banks in the United Kingdom in 2024. The British banking giant reported a Tier 1 capital of roughly 115.1 billion British pounds. HSBC was followed by Barclays and Lloyds Banking Group. Tier 1 capital displays the financial strength of a bank as it shows the bank’s core capital, including equity capital and disclosed reserves. Regulators use tier 1 capital for the purpose of ensuring that banks have enough capital in case of unexpected losses.

List of capital instruments in EU member states qualifying as Common Equity Tier 1 instruments.

The EBA publishes this list on the basis of information received from each competent authority, in line with the legal obligations set out in Article 26 of Regulation (EU) No 575/2013 .

Malaysia Banking System: Tier 1 Capital Ratio data was reported at 14.724 % in Mar 2025. This records a decrease from the previous number of 14.848 % for Feb 2025. Malaysia Banking System: Tier 1 Capital Ratio data is updated monthly, averaging 14.405 % from Jan 2013 (Median) to Mar 2025, with 147 observations. The data reached an all-time high of 16.002 % in Dec 2021 and a record low of 12.816 % in Aug 2015. Malaysia Banking System: Tier 1 Capital Ratio data remains active status in CEIC and is reported by Bank Negara Malaysia. The data is categorized under Global Database’s Malaysia – Table MY.KB: Constituents of Capital: Basel III.

In 2023, Crédit Mutuel led the top 15 European banks with a common equity tier 1 (CET1) ratio of 19.2 percent, followed by UniCredit at 16.1 percent. Following the Basel III accord implementation on January 1, 2015, European banks faced higher capital requirements, including a new minimum CET1 ratio of 4.5 percent. Throughout 2023, the EU banking sector demonstrated strong capital adequacy, with the banking sector's CET1 ratio significantly exceeding the regulatory minimum. European banks on the global stage European banks showcased their strength on the global stage, with the average CET1 ratio of the largest banks surpassing their U.S. counterparts. This signifies a robust capital position and resilience in facing economic challenges. HSBC represents European banks among the world's largest financial institutions. In 2023, the UK-headquartered bank made it to the largest 15 banks worldwide based on market capitalization, with a market cap of over 156 billion U.S. dollars. Banking crisis: Nosedive in March 2023 The March 2023 collapse of Silicon Valley Bank (SVB) and Signature Bank in the United States sparked a banking crisis that quickly spread to Europe, culminating in Credit Suisse's distress. As investor confidence plummeted, major European bank stocks experienced steep declines. Although share prices partially recovered in late March, they remained significantly below their early-month levels. However, in the following months, the banking sector gradually stabilized as regulatory measures and central bank interventions helped restore market confidence.

As of 2024, Equity Bank Group was the leading bank in Kenya in terms of tier 1 capital, which reached approximately 1.39 billion U.S. dollars. Kenya Commercial Bank (KCB) followed with the second-largest volume of tier 1 capital, at around 1.27 billion U.S. dollars. The results placed the institutions in the 23rd and 25th positions, respectively, among the 100 leading banks in Africa by tier 1 capital.

HSBC Holdings had the highest tier 1 capital of all banks in Europe in 2023, with roughly 130.65 billion euros. It was followed by BNP Paribas and Banco Santander, with around 107.5 and 85.5 billion euros, respectively. Tier 1 capital displays the financial strength of a bank as it shows the bank’s core capital, including equity capital and disclosed reserves. Regulators use tier 1 capital for the purpose of ensuring that banks have enough capital in case of unexpected losses. The tier 1 capital level of HSBC in 2023 was among the highest in the world that year, but well below the one of ICBC, the bank with the highest tier 1 capital in the world. What is the tier 1 capital ratio minimum? After the financial crisis in 2008, it became clear that many banks were running on too much debt and did not hold enough equity. To prepare the banking industry for other financial crises, Basel III accords were implemented. The framework, developed on top of Basel II, requires banks to have a tier 1 capital ratio of a minimum six percent. European banks appear safe for now In 2023, all but one European banks reviewed passed the EU-wide stress test. The EU-wide stress test is run to assess Europe’s banking sector's ability to withstand shocks to the market and to ensure a repeat of the financial crisis does not happen again. The test, which requires banks to have a ratio of over 5.5 percent for fully loaded CET1 capital, saw Europe’s 48 largest banks score anywhere between 0.05 percent to almost 25 percent.

This dataset examines financial inclusion and bank stability in Ethiopia, containing panel data from 17 commercial banks over the period 2015-2023. In 2015, there were 17 commercial banks in Ethiopia but to maintain confidentiality, the names of commercial banks have been anonymized and are referred to by generic labels: 1, 2, 3, 4..., and 17. This process allows the dataset to be analyzed and shared openly in support of reproducibility and transparency in research.VariablesBank Stability (ZS): Computed using the Z-score to measure stability.Financial Inclusion Index (IFI): Developed using two-stage Principal Component Analysis (PCA) with 10 conventional and 5 digital indicators.Loan to Deposit Ratio (LDR): Computed based on the loan to deposit ratio.Provision to Loan (PL): Computes the loan loss provision ratio.Natural Logarithm of Total Assets (lnTA): Logarithmic form of total assets.Capital Adequacy Ratio (CAR): Computed by Tier-1 capital and Tier-2 capital divided by risk-weighted assets.Income Diversification (IND): Computed based on the non-interest income to total income ratio.Operational Efficiency Management (EF): Measured using Data Envelopment Analysis (DEA) with five input variables (salary and benefits, provisions, general expenses, branches, and deposits) and two output variables (net interest income and non-interest income).Real Lending Interest Rate (RLIR): Inflation-adjusted interest rate.GDP Growth Rate (GDP): Annual percentage change in GDP.This dataset provides comprehensive insights into the relationships between financial inclusion and bank stability, supporting future research and policy formulation.

As of 2023, UniCredit was the Italian bank with the largest tier 1 capital among the leading banks in Italy. UniCredit's tier 1 capital amounted to 50.76 billion euros, slightly higher than that of Intesa Sanpaolo, which ranked second. Intesa Sanpaolo reported a tier 1 capital of roughly 49.18 billion euros.

As of 2023, Ecobank Ghana was the leading banking institution in Ghana in terms of tier 1 capital weighted in December 2021. This reached a value of 342 million U.S. dollars. Ghana Commercial Bank (GCB) followed with tier 1 capital amounting to 253 million U.S. dollars, weighted in December 2022. GCB was also one of the leading banks in the country with respect to the number of bank branches as of June 2020.

As of 2024, the National Bank of Egypt and Attijariwafa Bank were the leading banks in North Africa in terms of tier 1 capital. These institutions accumulated tier 1 capital of around seven billion and six billion U.S. dollars, respectively. Moreover, Egypt's Banque Misr registered an approximate value of five billion U.S. dollars, ranking it third in the North African region. Tier 1 capital consists of core capital, reserves, retained earnings, and minority interests.

The Common Equity Tier 1 (CET1) ratio of the Intesa Sanpaolo fluctuated between 2014 and 2023. After registering the lowest value of 12.7 percent in 2016, the CET1 ratio increased in the following years, reaching its highest value at 14.7 percent in 2020. As of 2023, it stood at 13.7 percent. Common Equity Tier 1 (CET1) ratio The CET1 ratio measures a bank’s capital against its risk-weighted assets and it is an instrument used to gauge a bank's capital strength. The higher the CET1 ratio a bank has, the greater the level of unexpected losses it can absorb before becoming insolvent. In 2018 and 2019, the European Central Bank published its guidelines to improve the continent’s banking system’s resilience and ensure higher stability in the sector. In both years, the minimum requirement for the CET1 ratio was set to 10.6 percent. Intesa Sanpaolo Established in 2007 after the merger between Banca Intesa and Gruppo Sanpaolo IMI, the bank Intesa Sanpaolo has become the largest bank in Italy and one of the leading banks in Europe. In 2023, it ranked seventh in a list of the leading banks in Europe in terms of market capitalization. Also, Intesa Sanpaolo was among the banks with the largest asset value in the continent in 2022. Over the years, the banking group also expanded abroad. In 2023, the bank counted around 4.2 thousand bank branches and over 94 thousand employees worldwide.

As of 2021, HSBC had the highest amount of pre-tax profit of the largest banks in Europe. HSBC had almost 19 billion U.S dollars in pre-tax profits that year. Pre-tax profit displays the amount of profit a company has made before paying corporate income taxes. Essentially, it is the calculation of deducting all expenses from revenue except taxes.

Tier 1 capital

Tier 1 capital displays the financial strength of a bank as it shows the bank’s core capital including equity capital and disclosed reserves. Regulators use tier 1 capital for the purpose of ensuring that banks have enough capital in case of unexpected losses. As of 2021, HSBC had the highest amount of tier 1 capital of any bank in Europe with over 160 billion U.S dollars. Although HSBC has the most in tier 1 capital, they did not make the list for best performing European banks for fully loaded CET1 capital ratios.

Leading banks in assets

Another way in measuring a banks strength, size and health is through its total assets. Total assets are one of the main measures of a bank's prosperity and is defined as all assets owned by a bank. This includes, but is not limited to; cash and balances, loans and advances to banks and customers, as well as debt securities. Europe’s largest bank in 2021 had almost than three trillion euros in total assets.

In 2023, Attijariwafa Bank was the leading banking service provider in Morocco in terms of tier 1 capital. That year, its capital reached a value of around six billion U.S. dollars. The Banque Centrale Populaire followed, with tier 1 capital amounting to nearly 5.2 billion U.S. dollars.

In 2023, 13 of the 15 largest U.S. banks had a Tier 1 leverage ratio exceeding five percent. Capital One led with the highest ratio at 11.2 percent, followed by Citizens Bank and First Republic, both at 9.3 percent. The only exceptions among the largest banks were TD Bank and BMO Harris Bank, which reported Tier 1 leverage ratios below five percent.

South Africa's Standard Bank Group ranked as the leading bank in Africa, according to the level of tier 1 capital, which consists of core capital, reserves, retained earnings, and minority interests. With operations in 20 countries in the continent, the bank group registered a capital of 13 billion U.S. dollars as of the end of 2023. The National Bank of Egypt followed, with 7 billion U.S. dollars in tier 1 capital as of June 2023.