Interest rates have fallen but are among the highest in Europe

Lending rates in Cyprus have been declining since March 2015, but are still among the most expensive in the Eurozone.

According to data published by the European Central Bank, the average interest rate on new business loans in Cyprus decreased in September 2015 to 4,95% from 5,03% in August and 5,83% in September 2014. Business borrowing costs loans decreased by 0,88% in one year.

Apart from Cyprus, business interest rates in Greece are also high (4,92%), while on the contrary, the lowest interest rates are enjoyed by entrepreneurs in Finland (1,68%) and Luxembourg (1,79%). In Spain, one of the countries under the Memorandum of Understanding, the average interest rate on business loans is 2,51%, in Portugal 3,55% and in Ireland 3,14%.

In terms of interest rates on new mortgages, in Cyprus they stood at 4,03% in September from 4,05% in August 2015 and 4,89% in the corresponding month last year, with the decrease over a period of one year reaching 0,86, 1,93%. Despite the reduction achieved, the mortgage interest rate in Cyprus is still one of the highest in the Eurozone. The housing market is cheaper in Luxembourg, with the average interest rate being 1,46%, Finland 2,42%, Spain 3,20%, Portugal 3,53%, Ireland 3,30%, Latvia 1,52 , 1,59%. In terms of interest rates on new deposits in Cyprus, they fell to 2,59% from XNUMX% in August and XNUMX% in September last year and are the third highest in the Eurozone.

In terms of interest rates for new deposits in Cyprus, they fell to 1,52% from 1,59% in August and 2,59% in September last year and are the third highest in the Eurozone.
Within a year, the cost of interest rates decreased by 1,07%. In the Eurozone, the cost of raising deposits rose to 0,68% from 0,69%. The average deposit rate in Luxembourg is 0,41%, in Portugal 0,61%, in Spain 0,38% and in Greece 1,17%.

Source: Liberal