Insider Economy Deposit rates decline to a new all-time low in Cyprus

Deposit rates decline to a new all-time low in Cyprus

Key deposit rates in the Cyprus banking system declined to new all-time in August against the backdrop of the negative rates charged by the European Central Bank, as part of its monetary easing programme.

According to data published by the Cyprus Central Bank, the interest for household deposits up to one year dropped to 0.17% in August from 0.20% the previous month, following a downward path since February this year. Interest for household deposits peaked in January 2009 at 6.15%.

Interest rate for deposits from non- financial companies declined by 10 basis points in August to 0.22%.

Hellenic Bank said it will impose negative rates to corporate deposits, while Bank of Cyprus indicated it is considering negative rates to “wholesale” deposits, in a bid to offset the charges imposed by the ECB.

Furthermore, rates for consumer loans rose to 3.06% in August from 2.77% in the previous month, while interest rates for mortgages rose to 2.13% from 2.08%.

The interest rate for non-financial corporations for loans up to €1 million declined to 3.30% from 3.35% in July, whereas rates for corporate loans over €1 million declined to 3.06% in August from 3.26% in July.

(Cyprus News Agency)

Top Stories

World becoming less tolerant of migrants – Gallup poll

The world is becoming less tolerant of migrants, according to a poll released on Wednesday as Europe prepared to unveil a new asylum plan...

Nicosia Central Prisons part of Netflix jail series

Nicosia Central Prisons will be included in a new documentary series by Netflix platform focusing on inter-workings in jails worldwide, according to Philenews. The American...

CSEO to broadcast live webinar on “Humanity’s return to the Moon”

The Cyprus Space Exploration Organisation is broadcasting on Wednesday the second episode of the bi-weekly series of live webinars on “Humanity's return to the...

Hotspots of the Bobcat Fire northeast of Los Angeles

A satellite image shows hotspots of the Bobcat Fire northeast of Los Angeles, California, U.S. September 21, 2020. Picture taken September 21, 2020.

Turkey’s Erdogan, France’s Macron discuss Cyprus, Eastern Med tensions

Turkish President Tayyip Erdogan and France's Emmanuel Macron said on Tuesday evening they had held their first conversation in months following a standoff between...



Pork souvlaki: Put the meat and all the other ingredients in a bowl (not metal) and mix well. Cover the bowl and keep in...

Pastelli (Carob Toffee)

The nutritional sweet of Pastelli is made with the syrup of carob pods, produced by boiling their pulp until it forms a thick, sticky...

Meatballs with tomato and cumin

Place all meatball ingredients in a bowl and knead well with hands. Keep the mixture in the fridge for approximately 1 hour to thicken. In...

Crushed wheat pilaf with sausages and halloumi

Ingredients: 1 cup bulgar wheat ¼ of the cup vermicelli noodles or spaghetti, broken into small pieces 1 onion 2 sausages 1 cup tomato juice 1 vegetable stock cube 1/3 ts...