Interest Rates on Bank Deposits and Loans: September 2019
31/10/2019 - Press Releases
1. INTEREST RATES ON EURO-DENOMINATED NEW DEPOSITS AND LOANS
In September 2019, the overall weighted average interest rates on new deposits and loans decreased. The spread* between loan and deposit rates decreased to 4.36 percentage points (see Table 1).
New Deposits
The overall weighted average interest rate on all new deposits decreased by 3 basis points to 0.23%.
In particular, the average interest rate on overnight deposits placed by households remained unchanged at 0.09%, while the corresponding rate on deposits by non-financial corporations was 0.16% from 0.14% in the previous month. The average interest rate on deposits from households with an agreed maturity of up to 1 year decreased by 9 basis points to 0.45%.
New Loans
The overall weighted average interest rate on all new loans to households and non-financial corporations decreased by 9 basis points to 4.59%.
More specifically, the average interest rate on consumer loans without a defined maturity (category which comprises credit cards, open account loans and overdrafts) remained almost unchanged at 14.30%.
The average interest rate on consumer loans with a defined maturity at a floating rate[1] decreased by 15 basis points to 10.24%. The average interest rate on housing loans at a floating rate[1] decreased by 4 basis points to 3.08%.
The average interest rate on corporate loans without a defined maturity decreased by 5 basis points to 4.82%. The corresponding rate on loans to sole proprietors remained almost unchanged at 6.79%.
The average interest rate on corporate loans with a defined maturity at a floating rate[1] remained almost unchanged at 3.83% in September 2019, whereas the volume of new business[2] decreased to €340 million from €398 million in the previous month. More specifically, the rate on loans with a defined maturity at a floating rate to small and medium-sized enterprises (SMEs) increased by 9 basis points to 3.90%, whereas the corresponding volume of new business increased to €249 million in September from €187 million in the previous month (see Chart and Table 1).
As regards the structure of interest rates according to the size of the loans granted, the rate on loans of up to €250,000 decreased by 20 basis points to 4.82%, on loans of over €250,000 and up to €1 million increased by 39 basis points to 4.04%, while the rate on loans of over €1 million decreased by 14 basis points to 3.63%.
2. INTEREST RATES ON OUTSTANDING AMOUNTS OF EURO-DENOMINATED DEPOSITS AND LOANS
In September 2019, the overall weighted average interest rates on outstanding amounts of all deposits and loans remained almost unchanged. The spread* between loan and deposit rates remained also almost unchanged at 3.81 percentage points (see Table 2).
Outstanding Deposits
The overall weighted average interest rate on outstanding amounts of all deposits (including overnight deposits) remained almost unchanged at 0.25%.
In particular, the average interest rate on outstanding amounts of deposits with an agreed maturity of up to 2 years placed by households remained almost unchanged, while the corresponding rate on deposits placed by non-financial corporations decreased by 5 basis points to 0.65%.
Outstanding Loans
The overall weighted average interest rate on outstanding amounts of all loans remained almost unchanged at 4.06%.
In particular, the average interest rate on outstanding amounts of housing loans with over 5 years’ maturity remained almost unchanged at 2.09%. The average interest rate on outstanding amounts of consumer loans[1] with over 5 years’ maturity increased by 4 basis points to 6.18%. The corresponding rate on corporate loans remained almost unchanged at 3.52%. Finally, the average interest rate on outstanding amounts of loans to sole proprietors with over 5 years’ maturity decreased by 4 basis points to 4.56%.
Table 1: Average interest rates on new euro-denominated deposits and loans (percentage % annually)
| | | July 2019 | August 2019 | September 2019 |
| DEPOSITS | Overnight from households | 0.09 | 0.09 | 0.09 |
| Overnight from non-financial corporations | 0.13 | 0.14 | 0.16 |
| From households with an agreed maturity of up to 1 year | 0.57 | 0.54 | 0.45 |
| Overall weighted average rate on all deposits | 0.27 | 0.26 | 0.23 |
| LOANS | Consumer without a defined maturity | 14.34 | 14.32 | 14.30 |
| Corporate without a defined maturity | 4.91 | 4.87 | 4.82 |
| To sole proprietors without a defined maturity | 6.80 | 6.78 | 6.79 |
| Housing at a floating rate[1] | 3.22 | 3.12 | 3.08 |
| Consumer with a defined maturity at a floating rate6 | 10.41 | 10.39 | 10.24 |
| Corporate with a defined maturity at a floating rate6: | 3.54 | 3.82 | 3.83 |
| -amounts of up to €250,000 | 4.90 | 5.02 | 4.82 |
| -amounts of over €250,000 and up to €1 million | 3.91 | 3.65 | 4.04 |
| -amounts of over €1 million | 3.41 | 3.77 | 3.63 |
| Loans with a defined maturity to small and medium-sized enterprises at a floating rate6 | 3.90 | 3.81 | 3.90 |
| Overall weighted average rate on all loans | 4.57 | 4.68 | 4.59 |
| Interest rate spread* | 4.30 | 4.42 | 4.36 |
Table 2: Average interest rates on outstanding amounts of euro-denominated deposits and loans (percentage % annually)
| | | July 2019 | August 2019 | September 2019 |
| DEPOSITS | From households with an agreed maturity of up to 2 years | 0.56 | 0.55 | 0.53 |
| From non-financial corporations with an agreed maturity of up to 2 years | 0.72 | 0.70 | 0.65 |
| Overall weighted average rate on all deposits** | 0.26 | 0.26 | 0.25 |
| LOANS | Housing with over 5 years’ maturity | 2.12 | 2.10 | 2.09 |
| Consumer and other with over 5 years’ maturity | 6.19 | 6.14 | 6.18 |
| Corporate with over 5 years’ maturity | 3.55 | 3.54 | 3.52 |
| To sole proprietors with over 5 years’ maturity | 4.62 | 4.60 | 4.56 |
| Overall weighted average rate on all loans | 4.11 | 4.09 | 4.06 |
| Interest rate spread* | 3.85 | 3.83 | 3.81 |
*The interest rate spread is the difference between the overall weighted average rate on all loans and the overall weighted average rate on all deposits.
**For the calculation of the overall weighted average rate on all deposits the overnight deposits are also taken into account.
The complete data set of bank deposit and loan interest rates is published in the sub-section Bank deposit and loan interest rates on the website of the Bank of Greece.
Note: The next Press Release on “Interest Rates on Bank Deposits and Loans” for October 2019 will be published on 4 December 2019, according to the Release calendar, as published on the website of the Bank of Greece.
[1] Consumer loans at a floating rate comprise also loans with an initial rate fixation period of up to one year.
[2] Housing loans at a floating rate comprise also loans with an initial rate fixation period of up to one year.
[3] Corporate loans at a floating rate comprise also loans with an initial rate fixation period of up to one year and they account for 98,9% of the total.
[4] New business refers to new contracts that were agreed during the reference month and not actual loan disbursements.
[5] Including other loans to individuals and private non-profit institutions.
[6] Loans at a floating rate comprise also loans with an initial rate fixation period of up to one year.