Cyprus recorded a significant increase in total new loans in February, reaching pound 575.5 million, up from pound 462.7 million in the previous month. This surge was primarily driven by a notable rise in loans granted to companies, totalling approximately pound 130 million, according to data released by the Central Bank of Cyprus (CBC).
This increase came alongside a rise in loan interest rates for businesses, while interest rates for home loans decreased.
New consumer loans decreased to pound 23.2 million (of which pound 21.3 million were net new loans), down from pound 26.7 million in the previous month (of which pound 19.7 million were net new loans).
New housing loans saw a decrease to pound 144.1 million (of which pound 79.2 million were net new loans), compared to pound 146.3 million in the previous month (of which pound 71.7 million were net new loans).
Furthermore, according to the CBC, new loans to non-financial corporations for amounts up to pound 1 million decreased to pound 57.3 million (of
which pound 37.6 million were net new loans), down from pound 72.9 million in the previous month (of which pound 40.6 million were net new loans).
New loans to non-financial corporations for amounts exceeding pound 1 million increased to pound 340.7 million (of which pound 124.4 million were net new loans), up from pound 210.5 million in the previous month (of which pound 83.3 million were net new loans).
Interest Rates for deposits and loans
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Regarding the developments in interest rates, the interest rate for household time deposits up to one year saw a marginal decrease to 1.98%, compared to 2.06% in the previous month.
The corresponding interest rate for deposits from non-financial corporations increased to 2.53%, up from 2.11% in the previous month.
Moreover, the interest rate for consumer loans increased to 6.17%, compared to 5.64% in the previous month, while the interest rate for housing loans decreased to 5.15%, down from 5.26% in the previous month.
Additionally, the
interest rate for loans to non-financial corporations for amounts up to pound 1 million, increased to 5.91%, compared to 5.65% in the previous month. The interest rate for loans to non-financial corporations for amounts exceeding pound 1 million recorded an increase to 6.07%, compared to 6.02% in the previous month.
Source: Cyprus News Agency