While this is not good news for depositors, the average cost of loans for households and businesses is at an all-time low, one year after the Central Bank intervened to lower the interest rates.

While last year the interest rate for deposits hovered around 2.5%, February 2016 showed interest rates of 1.53%. The average interest rate in the Eurozone is even lower, at 0.62%.

During the financial bubble period, 2008 and 2009, the interest rate for deposits was over 6%, and in some cases 7%.

The interest rate for deposits from companies was raised in February to 1.36%, compared to 1.33% in the previous month. The average interest rate in the Eurozone is 0.23%, a difference of 1.13%.

The interest rate for consumer loans dropped to 4.38% compared to 4.42% last month.

The cost for loan in this category is cheaper in Cyprus than in the Eurozone (5%). The cheapest consumer loans can be found in Slovenia, with an interest rate of 4.22%, and Finland at 4.25%.

The interest rate for housing loans dropped to 3.12%, an all-time low, compared to 3.36% in January.

The average cost for a housing loan in the Eurozone is 2%. The cheapest housing loan can be found in Finland at 1.18%, followed by France (1.92%) and Italy (1.95%). The most expensive housing loan is in Ireland at 3.23%, followed by Cyprus.

The interest rate for loans up to €1 million to non-businesses dropped to 4.36% compared to 4.46% in January.

The average cost of loans in the Eurozone is 2.68% and the difference with Cyprus is 1.68%. To lowest interest rate for business loans is in Belgium (1.76%) and Luxembourg (1.79%).

On the other hand the interest rate for loans to non-financial companies for amounts above €1 million increased to 3.88% compared to 3.72% in the last month. The average interest rate in the Eurozone is at 1.32%.

Cyprus has one of the lowest interest rates in the eurozone when it comes to credit cards (10.72%), while in the Eurozone it is at 16.88%. To lowest interest rate for credit cards is in Slovenia (7.86%), Malta (8.21%), Finland (8.7%) and the most expensive in Latvia (23.21%).

Source: InCyprus