On Friday 10th May the Central Bank of Cyprus released new data on changes in interest rates on loans and deposits in Cyprus in March 2024.
According to the authority, in March this year there was an increase in interest rates on consumer loans and a decrease in interest rates on housing loans, while interest rates on household deposits increased.
Loan rates
The interest rate on consumer loans rose to 6.19 per cent from 6.17 per cent in the previous month. In contrast, the rate for housing loans fell to 4.75 percent from 5.15 percent in the previous month.
The rate for loans to non-financial corporations of up to €1 million fell to 5.52% from 5.91% in February. Finally, the rate for loans to non-financial corporations over 1 million euro fell to 5.8
Deposits
The interest rate on time deposits up to one year for households in March 2024 rose to 2.24% from 1.98% in the previous month. The corresponding rate on deposits of non-financial corporations fell to 2.24 per cent from 2.53 per cent in February 2024.
The Central Bank of Cyprus stated that the rise or fall of interest rates in Cyprus is directly related to the level of the policy rate, which has been repeatedly increased in an attempt to curb inflation, which has reached record highs.