Pure new loans up by €95.7m in June

Pure new loans in Cyprus banks increased by €95.7m in June 2024, reaching €330.6m compared to €234.9m in May.

According to the Central Bank of Cyprus (CBC), total new loans recorded an increase to €514.9m in June, up from €391.6m the previous month, including new loan contracts and contracts which were renegotiated within the reference month. This growth was driven by a notable rise in pure new loans, which increased by €95.7m.

New loans for consumption increased to €21.7m from €21.2m in the previous month, with pure new loans rising to €20.3m compared to €19.8m in the previous month.

Loans for house purchases climbed to €129.9m from €119.7m in the previous, with pure new loans in this sector increasing to €107.1m from €92.2m.

Loans to non-financial corporations for amounts up to €1 m increased to €77.8m compared to €55.5m in the previous month, with pure new loans rising to €53.9m from €43.3m in May.

Loans to non-financial corporations for amounts over €1m saw the most substantial growth, jumping to €272.4m from €188.0m. Pure new loans in this category nearly doubled, reaching €149.3m from €79.7m in the previous month.

Deposit rates increase

The interest rate on deposits from households with an agreed maturity of up to one year recorded an increase to 2.17% in June, compared with 2.02% in the previous month. The corresponding interest rate on deposits from non-financial corporations also registered an increase, rising to 2.35% from 2.29% in May.

Mixed trends for lending rates

The interest rate on consumer credit decreased to 6.18%, compared with 6.49% in the previous month. The interest rate on loans for house purchases decreased marginally to 4.52%, down from 4.53% in May. Meanwhile, the interest rate on loans to non-financial corporations for amounts up to €1m increased to 5.45%, compared with 5.27% in the previous month. In contrast, the interest rate on loans to non-financial corporations for amounts over €1m registered a decrease, falling to 5.33% from 6.33% in May.