Lending rates down in March 2015

The majority of lending rates registered significant decline in March 2015 reflecting the Central Bank's decision to reduce is highest deposit rate by one percentage point.

The interest rate on deposits from households with an agreed maturity of up to one year continued its downward trend falling to 1.73% compared with 2.30% in the previous month.

The corresponding interest rate for deposits from non-financial corporations recorded a decrease for the second consecutive month to 1.57% compared with 2.26% in the previous month.

Furthermore, the interest rate on consumer loans decreased for the third consecutive month to 4.69% compared with 5.19% in the previous month.

The interest rate on loans for house purchase registered a decline of 69 basis points to 3.76% compared with 4.45% in February.

Source: Famagusta Gazette