Bank of Greece: Bank interest rate spread up in January

The spread between loan and deposit interest rates increased to 4.74 percentage points in January as the overall weighted average interest rate on new deposits remained unchanged, while the interest rate on new loans increased, the Bank of Greece said in a report released on Monday.

The central bank, in a monthly report, said that the overall weighted average interest rate on all new deposits remained unchanged at 0.29 pct. In particular, the average interest rate on overnight deposits placed by households remained almost unchanged at 0.09 pct, while the average interest rate on overnight deposits placed by non-financial corporations remained unchanged at 0.16 pct. The average interest rate on deposits from households with an agreed maturity of up to 1 year remained, also, almost unchanged at 0.61 pct.

The overall weighted average interest rate on all new loans to households and corporations increased by 12 basis points to 5.03 pct.

More specifically, the average interest rate on consumer loans without a defined maturity remained almost unchanged at 14.57 pct. The average interest rate on consumer loans with a defined maturity at a floating rate increased by 84 basis points to 8.4 pct.

The average interest rate on corporate loans without a defined maturity remained almost unchanged at 5.36 pct. Τhe corresponding rate on loans to sole proprietors remained, also, almost unchanged at 6.96 pct. The average interest rate on corporate loans with a defined maturity at a floating rate increased by 51 basis points to 4.92 pct. Finally, the average interest rate on housing loans at a floating rate decreased by 21 basis points to 2.78 pct.

In January 2018, the overall weighted average interest rate on the outstanding amounts of all deposits remained unchanged, while the corresponding rate on all loans remained almost unchanged. The spread between loan and deposit rate remained almost unchanged at 4.16 percentage points.

In more detail, the overall weighted average interest rate on the outstanding amounts of all deposits (including overnight deposits) remained unchanged at 0.32 pct, while the corresponding rate on all loans remained almost unchanged at 4.48 pct.