On Wednesday 31st August the Central Bank released new data on changes in lending and deposit interest rates in Cyprus in June 2024.
Interest rates on deposits increased in June, while interest rates on loans to households decreased, contributing to a narrowing of the gap between deposit and lending rates. The situation for interest rates on loans to enterprises in Cyprus was somewhat different in June. In particular, rates on loans of up to €1 million increased last month, while rates on larger loans to enterprises decreased.
Lending rates
The interest rate on consumer loans fell to 6.18% from 6.49% in the previous month. The rate on loans for house purchase also fell, to 4.52 per cent from 4.53 per cent in May.
The rate for loans to non-financial corporations of up to 1 million euro rose to 5.45% from 5.27% in the previous month. Finally, the interest rate on loans to non-financial corporations over 1 million decreased to 5.33% compared to 6.32% in the previous month.
Interest rates on deposits
The interest rate on time deposits up to one year for households rose to 2.17% in June from 2.02% in May. The corresponding rate for deposits of non-financial corporations also increased to 2.35% from 2.29% in the previous month.