Definition of prudential in English:


Pronunciation /pro͞oˈden(t)SHəl/ /pruˈdɛn(t)ʃəl/


  • Involving or showing care and forethought, especially in business.

    ‘the US prudential rules prevented banks from lending more than fifteen percent of their capital to any one borrower’
    • ‘Unfortunately, within the Government's rules, prudential borrowing would not provide the solution to our problems.’
    • ‘Even in his first five years of supposedly prudential stewardship, his new regulations cost British business a total of £15.6bn.’
    • ‘The performance is creditworthy in view of the absorption of overhang problems by public sector banks and tightening of prudential norms for the banks.’
    • ‘According to prudential legislation, bank exposure to any single entity cannot exceed 25 per cent of its capital.’
    • ‘This is a matter of prudential judgment made by those entrusted with the care of the common good.’
    • ‘Williams also credits more standard prudential requirements which, he said, have allowed banks to reduce the risk of attracting bad customers.’
    • ‘Borrowing from banks, with their strict prudential procedures that require collateral for loans, is not a viable option.’
    • ‘At the same time, lax supervision and prudential regulation allowed banks and corporations to take on significant exchange rate and maturity risks.’
    • ‘Indeed, it used to be a principle of asset management that portfolios were diversified across different national jurisdictions as part of a prudential spreading of risk.’
    • ‘The figures were expected by most experts, since May was the first month that the new prudential and restrictive monetary measures were implemented.’
    • ‘For prudential reasons, I worry that linking social benefits to the workplace may backfire.’
    • ‘All they needed to do was simply throw the principles of good governance and prudential banking regulations out of the window.’
    • ‘Many materials in the ICW, which act as the guarantee on a prudential state finance system, are abolished.’
    • ‘But even if they had failed in this prudential duty, did the fact that rates subsequently plummet somehow pass them by?’
    • ‘The extension of credits should always follow prudential regulations and sound assessments.’
    • ‘Most students are responsible and prudential and thus not as ribald as Wolfe makes them out to be.’
    • ‘The publication proposes special prudential measures to help commercial banks in times of exchange rate volatility and swings in capital flows.’
    • ‘The ECB is not entrusted with any direct responsibility related to prudential supervision of credit institutions and the stability of the financial system.’
    • ‘Malthus held that people possess the capacity for foresight and make prudential decisions in the light of the consequences they foresee.’
    • ‘As to which concrete punishments should be annexed to which crimes, the judgment is a prudential one left for public authority to determine.’


Late Middle English from prudent, on the pattern of words such as evidential.