The interest rate spread between new deposits and loans increased to 5.50 percentage points in March as the weighted average interest rate on new deposits remained almost unchanged at 0.23%, while the corresponding rate on new loans increased to 5.73%, the Bank of Greece said on Friday.
More specifically, in March 2023, the weighted average interest rate on outstanding amounts of deposits increased to 0.26%, while the corresponding rate on loans increased to 5.69%.The interest rate spread between outstanding amounts of deposits and loans increased to 5.43 percentage points.
In particular, the average interest rates on overnight deposits placed by households and non-financial corporations remained unchanged at 0.03% and 0.10% respectively. The average interest rate on deposits from households with an agreed maturity of up to 1 year increased by 12 basis points to 1.16%. The corresponding rate on deposits from non-financial corporations increased by 19 basis points to 1.47%. It should be noted that a large part of new deposits by households is currently placed in deposits with an agreed maturity of over 1 year.
SOURCE; ANA-MPA
