Interest Rates on Bank Deposits and Loans: December 2020
04/02/2021 - Press Releases
1. INTEREST RATES ON EURO-DENOMINATED NEW DEPOSITS AND LOANS
In December 2020, the overall weighted average interest rate on new deposits remained almost unchanged, while the corresponding rate on new loans decreased. The spread between loan and deposit rates also decreased to 3.70 percentage points (see Table 1).
New Deposits
The overall weighted average interest rate on all new deposits remained almost unchanged at 0.08%.
In particular, the average interest rates on overnight deposits placed by households remained unchanged at 0.04%, while the corresponding rate on deposits by non-financial corporations remained almost unchanged at 0.04%. The average interest rate on deposits from households with an agreed maturity of up to 1 year decreased to 0.19% from 0.21% in the previous month.
New Loans
The overall weighted average interest rate on all new loans to households and non-financial corporations decreased by 36 basis points to 3.78%.
More specifically, the average interest rate on consumer loans without a defined maturity (a category which comprises credit cards, open account loans and overdrafts) increased by 10 basis points to 14.61%.
The average interest rate on consumer loans with a defined maturity at a floating rate increased by 34 basis points to 11.31%. The average interest rate on housing loans at a floating rate increased by 10 basis points to 2.43%.
The average interest rate on corporate loans without a defined maturity stood at 4.41% compared with 4.44% in the previous month. The corresponding rate on loans to sole proprietors increased by 4 basis points to 6.71%.
In December 2020 the average interest rate on corporate loans with a defined maturity at a floating rate decreased by 27 basis points to 2.81%, whereas the volume of new business increased to €2,926 million from €1,153 million in the previous month. More specifically, the interest rate on loans with a defined maturity at a floating rate to small and medium-sized enterprises (SMEs) decreased to 3.30% from 4.28% in the previous month, whereas the corresponding volume of new business increased to €998 million from €288 million in the previous month (see Chart and Table 1).
As regards to the structure of interest rates according to the size of the loans granted, the rate on loans of up to €250,000 decreased by 183 basis points to 4.16%, on loans of over €250,000 and up to €1 million decreased by 36 basis points to 3.23%, while on loans of over €1 million decreased by 15 basis points to 2.53%.
2. INTEREST RATES ON OUTSTANDING AMOUNTS OF EURO-DENOMINATED DEPOSITS AND LOANS
In December 2020, 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 unchanged at 3.67 percentage points (see Table 2).
Deposits
The overall weighted average interest rate on outstanding amounts of all deposits (including overnight deposits) remained almost unchanged at 0.08%.
The average interest rate on outstanding amounts of deposits with an agreed maturity of up to 2 years placed by households remained almost unchanged at 0.20%; the corresponding rate on deposits placed by non-financial corporations decreased to 0.13% from 0.16% in the previous month.
Loans
The overall weighted average interest rate on outstanding amounts of all loans remained almost unchanged at 3.75%.
In particular, the average interest rate on outstanding amounts of housing loans with over 5 years’ maturity remained unchanged at 2.01%. The average interest rate on outstanding amounts of consumer and other loans to individuals and private non-profit institutions with a maturity of over 5 years remained unchanged at 6.47%; the corresponding rate on corporate loans remained also unchanged at 3.25%. The average interest rate on outstanding amounts of loans to sole proprietors with over 5 years’ maturity decreased by 7 basis points to 4.26%.
Table 1: Average interest rates on new euro-denominated deposits and loans (percentages per annum)
| | | October 2020 | November 2020 | December 2020 |
| DEPOSITS | Overnight from households | 0.05 | 0.04 | 0.04 |
| Overnight from non-financial corporations | 0.06 | 0.05 | 0.04 |
| From households with an agreed maturity of up to 1 year | 0.24 | 0.21 | 0.19 |
| Overall weighted average rate on all deposits | 0.10 | 0.09 | 0.08 |
| LOANS | Consumer without a defined maturity | 14.49 | 14.51 | 14.61 |
| Corporate without a defined maturity | 4.42 | 4.44 | 4.41 |
| To sole proprietors without a defined maturity | 6.69 | 6.67 | 6.71 |
| Housing at a floating rate | 2.49 | 2.33 | 2.43 |
| Consumer with a defined maturity at a floating rate | 11.08 | 10.97 | 11.31 |
| Corporate with a defined maturity at a floating rate: | 2.92 | 3.08 | 2.81 |
| -amounts of up to €250.000 | 5.53 | 5.99 | 4.16 |
| -amounts of over €250.000 and up to €1 million | 3.47 | 3.59 | 3.23 |
| -amounts of over €1 million | 2.69 | 2.68 | 2.53 |
| Loans with a defined maturity to small and medium-sized enterprises at a floating rate | 3.63 | 4.28 | 3.30 |
| Overall weighted average rate on all loans | 4.10 | 4.14 | 3.78 |
| Interest rate spread | 4.00 | 4.05 | 3.70 |
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Table 2: Average interest rates on outstanding amounts of euro-denominated deposits and loans (percentages per annum)
| | | September 2020 | October 2020 | November 2020 |
| DEPOSITS | From households with an agreed maturity of up to 2 years | 0.23 | 0.22 | 0.20 |
| From non-financial corporations with an agreed maturity of up to 2 years | 0.18 | 0.16 | 0.13 |
| Overall weighted average rate on all deposits | 0.10 | 0.09 | 0.08 |
| LOANS | Housing with over 5 years’ maturity | 2.01 | 2.01 | 2.01 |
| Consumer and other loans to individuals and private non-profit institutions with over 5 years’ maturity | 6.45 | 6.47 | 6.47 |
| Corporate with over 5 years’ maturity | 3.25 | 3.25 | 3.25 |
| To sole proprietors with over 5 years’ maturity | 4.29 | 4.33 | 4.26 |
| Overall weighted average rate on all loans | 3.77 | 3.76 | 3.75 |
| Interest rate spread | 3.67 | 3.67 | 3.67 |
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 Bank of Greece website.
Notes:
- 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 interest rate on all outstanding deposits, the overnight deposits are also taken into account.
- Loans at a floating rate comprise also loans with an initial rate fixation period of up to one year.
- New business refers to new contracts that were agreed during the reference month and not actual loan disbursements.
The next Press Release on “Interest Rates on Bank Deposits and Loans” for January 2021 will be published on 3 March 2021, according to the Release calendar, as published on the Bank of Greece website.