The gap between interest rates offered by banks in Cyprus and those in the eurozone persisted in August, both for loans and deposits, according to detailed data for each banking institution published by the Central Bank of Cyprus (CBC) on Friday.
Deposits
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The average interest rate on new household deposits with an agreed maturity of up to one year stood at 1.35%, up from 1.27% in the previous month, but well below the eurozone average of 2.13%. The highest rate was offered by the National Bank of Greece at 1.69%, while the lowest was offered by the Housing Finance Corporation at 0.83%.
For outstanding household deposits with an agreed maturity of up to two years, the average interest rate stood at 0.87%, marginally higher than the 0.84% recorded in July, but still well below the eurozone average of 1.86%. The highest rate was offered by Jordan Kuwait Bank at 1.68%, while the lowest was offered by Bank of Cyprus at 0.61%.
For new deposits by non-financial corporations with an agreed maturity of up to one year, the average interest rate stood at 1.56%, unchanged from the previous month, while the corresponding eurozone average was 2.24%. The highest rate was offered by Ancoria Bank at 2.20%, while the lowest was offered by the Housing Finance Corporation at just 0.21%.
For outstanding deposits by non-financial corporations with an agreed maturity of up to two years, the average interest rate stood at 1.26% in August, down from 1.34% in July, compared with 2.28% in the eurozone. The highest rate was offered by the National Bank of Greece (1.57%), while the lowest was offered by Societe Generale (0.93%).
Loans
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For new housing loans, irrespective of the initial rate fixation period, the average interest rate stood at 3.31% in August, according to the CBC, up from 3.24% in July, compared with 3.62% in the eurozone. The lowest rate was offered by Alpha Bank at 2.78%, while the highest was offered by Bank of Cyprus at 3.54%.
For outstanding housing loans, the average interest rate stood at 3.56%, compared with 2.53% in the eurozone. The lowest rate was recorded at the Housing Finance Corporation at 2.91%, while the highest was recorded at Bank of Cyprus at 3.78%.
Similarly, new loans of up to pound 1 million to non-financial corporations, irrespective of the initial rate fixation period, carried an average interest rate of 4.39%, down from 4.51% in July. The lowest rate was offered by the National Bank of Greece at 3.68%, while the highest was offered by Banque SBA at 7.16%.
New loans of more than pound 1 million to non-financial corporations, irrespective of the initial rate fixation period, carried an average interest rate of 4.51%. The lowest rate was offered by Alpha Bank at 3.95%, while the highest was offered by Bank of Cyprus at 5.15%.
For outstanding loans to non-financial corporations, the average interest rate stood at 4.22%, compared with 3.22% in the eurozone. The lowest rate was offered by Eurobank at 4.01%, while the highest was offered by Societe Generale at 5.15%.