Press Releases

Interest Rates on Bank Deposits and Loans: July 2010

01/09/2010 - Press Releases

1. INTEREST RATES ON NEW EURO-DENOMINATED DEPOSITS AND LOANS

In July 2010 the average interest rates on the most important categories of new deposits and loans generally increased, with the exception of the rate on loans to households without a defined maturity and the rate on housing loans with an initial fixation period of over one and up to 5 years that decreased (see Table 1).

More specifically, the average interest rates on overnight deposits from households and non financial corporations remained almost unchanged in July 2010 at 0.43% and 0.31% respectively. On the contrary, the average interest rate on deposits from households with an agreed maturity of up to 1 year increased significantly by a further 10 basis points to 3.71%.

As far as interest rates on loans are concerned, the average interest rate on consumer loans without a defined maturity (a category which includes credit card debt, open account loans, and debit balances on current accounts) decreased by 8 basis points to 14.29%. The average interest rate on loans without a defined maturity to non-financial corporations further increased significantly in July 2010 by 27 basis points to 6.73%. The average interest rate on loans to non-financial corporations at a floating rate or with an initial rate fixation period of up to one year for loans up to EUR 1 million remained almost unchanged to 5.91%, while the respective interest rate for loans above EUR 1 million increased significantly by 84 basis points to 4.73%. The average interest rate on housing loans at a floating rate or with an initial rate fixation period of up to one year increased significantly by 28 basis points in July 2010 to 3.54%. On the contrary, the average interest rate on housing loans with an initial fixation period of over 1 and up to 5 years further decreased by 13 basis points to 4.52%.

2. INTEREST RATES ON OUTSTANDING AMOUNTS OF EURO-DENOMINATED DEPOSITS AND LOANS

In July 2010 the average interest rates on outstanding amounts of the most important categories of deposits and loans increased (see Table 2).

In particular, the average interest rates on deposits from both households and non-financial corporations with an agreed maturity of up to 2 years increased significantly in July 2010 by 26 and 33 basis points respectively to 3.31% and 3.55%. The average interest rate on housing loans with over five years’ maturity remained almost unchanged at 3.67%, while the average interest rate on loans to non-financial corporations with over five years’ maturity increased further by 27 basis points to 4.53%.

Table 1: Interest rates on new euro-denominated deposits and loans