Loan/deposit interest rate up in August

Greek banks raised interest rates on new loans in August, while interest rates on new deposits remained unchanged in the month, the Bank of Greece said on Thursday. The central bank, in a monthly report, said that the spread between loan and deposit rates also increased to 4.00 percentage points.

The overall weighted average interest rate on all new deposits remained unchanged at 0.11%. In particular, the average interest rate on overnight deposits placed by households remained unchanged at 0.05%, while the corresponding rate on deposits placed by non-financial corporations remained almost unchanged at 0.07%. The average interest rate on deposits from households with an agreed maturity of up to 1 year remained, also, almost unchanged at 0.26%.

The overall weighted average interest rate on all new loans to households and non-financial corporations increased by 3 basis points to 4.11%. More specifically, the average interest rate on consumer loans without a defined maturity (a category which comprises credit cards, open account loans and overdrafts) remained almost unchanged at 14.35%.

The average interest rate on consumer loans with a defined maturity at a floating rate increased by 51 basis points to 11.26%. The average interest rate on housing loans at a floating rate decreased by 6 basis points to 2.47%. The average interest rate on corporate loans without a defined maturity remained almost unchanged at 4.52%. The corresponding rate on loans to sole proprietors stood at 6.71% from 6.74% the previous month.

The average interest rate on corporate loans with a defined maturity at a floating rate increased by 9 basis points to 3.04%.