The Central Bank of Cyprus (CBC) published on Wednesday detailed data on interest rates at Monetary Financial Institutions (MFIs) in Cyprus in December 2024.
Mortgage interest rates
The average of new mortgage lending rates (new contracts and renegotiations) for all Monetary Financial Institutions (MFIs) in Cyprus in December 2024 increased to 4,75%, compared to 4,50% in November. In contrast, a further decrease was recorded in the euro area, with the average standing at 4,15%.
The highest interest rate was Societe Generale with 6,60% and the lowest was the Housing Finance Organization with 3,32%. After Societe Generale, the highest interest rate was Bank of Cyprus with 5,35%, followed by Astrobank with 4,30% and Hellenic Bank with 4,27%. The interest rate at the Cyprus Development Bank was 3,86% and followed by Ancoria with 3,83%, Eurobank with 3,41% and Alpha Bank with 3,40%.
Loans to businesses
On new loans to businesses up to €1 million, the floating rate interest rate and initial fixation period of up to 1 year, for all credit institutions (MFIs) in Cyprus increased to 5,14% in December, from 5,10% in November.
Ancoria and Hellenic Bank increased their interest rates by 0,83% and 0,11% respectively, while the other banks reduced them.
The highest interest rate was at Banque SBA with 7,28% and the lowest was at Hellenic Bank with 4,66%. Bank of Cyprus reduced its interest rate to 5,34%. Ancoria increased its rate to 5,18%. Alpha Bank's interest rate was at 5,03% and Eurobank's at 5%. Lower interest rates were recorded at Societe Generale at 4,83% and National Bank and the Cyprus Development Bank at 4,70%.
Regarding the total new business including renegotiations, Cyprus has higher interest rates compared to the eurozone. The average for all MFIs in Cyprus increased to 5,11% in December, from 5,01% in November. In the eurozone, the corresponding rate decreased to 4,57%, from 4,74% in November.
Reduction in interest rates on loans over €1 million to businesses
Interest rates on loans over €1 million to non-financial companies in Cyprus decreased significantly in December 2024.
Specifically, the total interest rates on new loans over €1 million with a floating interest rate and an initial determination period of up to 1 year stood at 4,70%, compared to 5,63% in November.
The highest interest rate was at Societe Generale with 6,07% and the lowest at Eurobank with 4,12%. The interest rate at Hellenic was at 5,41%, at Ancoria at 5,13%, at National Bank at 4,71%, at Cyprus Development Bank at 4,66%, at Bank of Cyprus at 4,58% and at Eurobank at 4,12%.
Increase in household deposit interest rates
The average interest rate on household deposits with an agreed maturity of up to 0,08 year rose by 1% in December, to 1,78%, compared to 1,70% in November. The corresponding rate in the eurozone was 2,45%, down from 2,61%.
The highest interest rate was at Arab Jordan Investment Bank with 3% and the lowest at Alpha Bank at 1,35%. The interest rate at Eurobank was at 2,17%, at Jordan Ahli Bank at 1,87%, at Cyprus Development Bank at 1,76%, at Bank of Cyprus at 1,71%, at the Housing Finance Organization at 1,67%, at Ancoria at 1,56%, at Astrobank at 1,54%, at Societe Generale at 1,46%, at Hellenic at 1,38% and at Alpha Bank at 1,35%.
Reduction in business deposit interest rates
Interest rates on deposits with an agreed maturity of up to 1 year from non-financial corporations decreased. Their average ranged in December from 1,74% in November to 1,99%, compared to the eurozone, where the rate was 2,80% from 2,90% in November.
The highest interest rate was the National Bank of Cyprus with 2,38% and the lowest was the Housing Finance Agency with 0,52%. The interest rate at Hellenic Bank was 2,02%, followed by the interest rate of Jordan Ahli Bank at 1,88%, Bank of Cyprus at 1,83%, Eurobank at 1,69%, Ancoria at 1,67%, Astrobank at 1,53% and Alpha Bank at 1,45%. Next is the Cyprus Development Bank with 1,20% and the Housing Finance Agency with 0,52%.
Source: KYPE
