Central Bank of Cyprus reports March 2026 interest rate and lending data

The Central Bank of Cyprus released March 2026 data revealing that Cypriot deposit interest rates are among the lowest in the eurozone, while lending rates align with the area's median. Household deposit rates for one-year maturity fell to 1.18%, while rates for non-financial corporations rose to 1.39%. Consumer loan rates dropped to 6.79%, but mortgage interest rates increased to 3.86%. Net new loans surged to €495.3 million in March, compared to €328.7 million in February. The bank attributes the low deposit rates to excess banking liquidity, noting a Liquidity Coverage Ratio of 315% compared to the EU median of 186%. Loans to non-financial corporations under €1 million saw an interest rate increase to 4.40%, whereas loans over €1 million saw a decrease to 4.10%. The Central Bank explained that monthly fluctuations in mortgage rates are influenced by the shifting composition of the loan portfolio.