leakage

noun leak·age \ ˈlē-kij \
Updated on: 13 Oct 2017

Definition of leakage

1 a :the act or process or an instance of leaking
b :loss of electricity especially due to faulty insulation
2 :something or the amount that leaks

Examples of leakage in a Sentence

  1. trying to prevent accidental leakages

  2. Leakages of about 30 percent were reported.

  3. taking steps to prevent leakage of confidential information

Recent Examples of leakage from the Web

These example sentences are selected automatically from various online news sources to reflect current usage of the word 'leakage.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback.

First Known Use of leakage

15th century


Financial Definition of LEAKAGE

leakage

What It Is

Leakage occurs when money leaves an economy. In the investor relations world, leakage also refers to the unauthorized or unanticipated dissemination of information.

How It Works

Let's say interest rates in Country X suddenly surpass interest rates in Country Y. Money begins to leak out of Country X and into Country Y as investors seek higher returns for the same amount of risk.

Why It Matters

Leakage can have many forms; interest rates are just one way for money to leak out of an economy. High taxes can have the same effect, as can excessive saving or higher interest in purchasing imported goods. In any case, the exit of money from an economy means the businesses in those economies must look for other forms of revenue. The shortage of capital can spur governments to stimulate the economy as a result.


LEAKAGE Defined for English Language Learners

leakage

noun

Definition of leakage for English Language Learners

  • : an occurrence in which something (such as a liquid or gas) passes through a hole in a surface

  • : the amount that is lost when something leaks

  • : an occurrence in which secret information becomes known


LEAKAGE Defined for Kids

leakage

noun leak·age \ ˈlē-kij \

Definition of leakage for Students

:the act or process of entering or escaping through a crack or hole :leak
  • leakage of water

Learn More about leakage


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