A significant increase in reporting on new LEI data formats promotes greater transparency in the global marketplace
The Global LEI Foundation (GLEIF) is proud of its ongoing transparency initiatives. This includes its open approach to providing unrestricted access to the latest LEI data from around the world through the LEI System’s quarterly annual reports, which are made available to the public free of charge. GLEIF aims to highlight key data from the latest report, explain trends and showcase the successes of the global LEI rollout.
The latest report, which covers the third quarter of 2022, shows that over 50,000 LEIs were issued globally in that quarter. This brings the total number of active LEIs to 2.12 million, representing a quarterly growth rate of 2.4%.
For a further summary of last quarter’s data, see the infographic below showing key statistics from Q2 2022.
So-called “competitive markets” refer to markets with more than 1,000 LEIs, based on the number of LEI issuers offering services in the respective country. The most competitive markets are those with the most LEI issuers per country and a similar market share, and vice versa for the least competitive markets.
For the second consecutive quarter, Saudi Arabia recorded the highest LEI growth rate in any country, with a 29.5% increase in the third quarter. The continued growth in this market reflects the continued success of the Saudi Credit Bureau’s initiative, in collaboration with the Central Bank of Saudi Arabia, to encourage financial sector entities to obtain an LEI. Saudi Arabia, with the highest LEI growth in any country, was followed by Iceland (8.2%), Croatia (8.1%), and India (7.6%). Finally, New Zealand is a new entrant in the top five fastest-growing regions (7.2%), which can be partly attributed to the impact of regulation by the Australian Securities & Investments Commission (ASIC). This regulation aims to phase out the use of AVID and BIC identifiers, requiring New Zealand entities involved in transactions with Australian banks to register for an LEI instead.
The overall LEI renewal rate for Q3 2022 increased to 61.9% as quarterly renewals improved in both EU countries (64.5%) and non-EU countries (57.2%). Japan again had the highest renewal rate (91.4%), followed by Luxembourg (89.7%), Finland (88.2%), Norway (81.6%), and India (80.4%).
Parallel to the increase in renewal rates, the third quarter also saw a significant increase in notifications of the new data formats introduced in March this year. Over 4,600 legal entities were identified as government entities and 19 as international organizations (up from 4,000 and 14 respectively in Q2). In addition, some 73,000 legal entities now report fund relationships, an increase of over 15,600 from the previous quarter.
This remarkable increase in data reported in the third quarter helps demonstrate the positive impact of renewals on overall data volumes and the consistently high quality of the global LEI Index. When companies renew their LEI, the most up-to-date data is captured and shared with a global network of users who rely on accurate and relevant data to make informed business decisions. As renewals increased in the third quarter, the global LEI system benefited from greater insight into the companies that make up the global LEI population.
As a reminder, the LEI system’s quarterly business reports now include data from the new LEI data formats described in the latest Regulatory Oversight Committee (ROC) guidelines. These new formats have expanded the scope of data included in each LEI, providing greater transparency in the global marketplace and increasing the usefulness of the Global LEI System for all users.