Interest rates on new deposits in Eurozone ‘down’ in August – ECB

However, average MFI interest rates on outstanding amounts of deposits and loans “remained basically unchanged”.

The ECB reported that during this month, the weighted average rate on deposits from households with an agreed maturity of up to one year decreased by 11 basis points to 2.20% while the corresponding deposit rate for non-financial corporations decreased by 6 basis points to 0.98%.

However, during the same month, the weighted average rate on deposits from households redeemable at up to three months’ notice increased by 10 basis points to 1.49%.

According to the ECB, the interest rate on housing loans to households at a floating rate or with an initial rate fixation period of up to one year increased by 15 basis points to 2.81% in August 2010.

However, the ECB reported that the corresponding rate on loans with an initial rate fixation period of more than five years and up to ten years remained basically unchanged at 3.95%.

The ECB also reported that the weighted average rate on loans to households for consumption purposes, with an initial rate fixation period of over one and up to five years, remained basically unchanged at 6.25% in August 2010.

In the case of loans to non-financial corporations at a floating rate or with an initial rate fixation period of up to one year, the weighted average rate in August 2010 increased by 8 basis points to 3.38% for loans up to €1 million and remained basically unchanged, at 2.29%, for loans over €1 million during the same period.

According to the ECB, the weighted average rate on loans to non-financial corporations over €1 million with an initial rate fixation period of more than five years increased by 46 basis points to 3.65% in August 2010.

In the month under review,the weighted average interest rate on outstanding amounts of deposits from households with an agreed maturity of up to two years remained basically unchanged at 2.17%.

The ECB reported that the corresponding rate on deposits with an agreed maturity of over two years also remained unchanged at 2.72% in August 2010.

According to the ECB, the weighted average interest rate on outstanding amounts of deposits from non-financial corporations with an agreed maturity of up to two years remained basically unchanged at 1.56% in the same month.

The weighted average interest rate on outstanding amounts of loans to households for house purchase with over five years’ maturity remained basically unchanged at 3.81% and the weighted average interest rate on outstanding amounts of loans to non-financial corporations with over five years’ maturity remained basically unchanged at 3.34% in August 2010, the ECB concluded.