Deposit rate spread closed in Cyprus
Interest rates for deposits by households and corporations in Cyprus converged and matched in March, from having a spread of 55 basis points in February, according to data released by the Central Bank of Cyprus.
Interest rates on deposits from households with a maturity of up to one year rose to 2.24%, up from 1.98% the previous month. Meanwhile, the interest rates on deposits from non-financial corporations dropped to 2.24%, down from 2.53% in February.
The interest rate on consumer credit nudged up slightly to 6.19%, compared to 6.17% the previous month. However, the interest rate for loans for house purchases saw a decrease to 4.75%, down from 5.15% in the previous month.
Loans to non-financial corporations for amounts up to 1 million euros also saw a decrease to 5.52%, compared to 5.91% in the previous month. For loans over €1 million, the rate dropped to 5.88%, from 6.07% in the previous month.
Total new loans for March amounted to €496.4 million in Cyprus, down from €575.5 million in February. New loans for consumption dipped slightly to €22.2 million, and new loans for house purchases also decreased to €119.6 million.
