Pure new loans in Cyprus banks increase in June 2024, reaching a total of €330.6 million compared to €234.9 million in May.

According to data released by the Central Bank of Cyprus (CBC), total new loans recorded an increase to €514.9 million in June, up from €391.6 million in 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 €95.7 million.

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

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

Loans to non-financial corporations for amounts up to €1 million increased to €77.8 million compared to €55,5 million in the previous month, with pure new loans rising to €53.9 million from €43.3 million in May.

Loans to non-financial corporations for amounts over €1 million saw the most substantial growth, jumping to €272.4 million from €188.0 million. Pure new loans in this category nearly doubled, reaching €149.3 million from €79.7 million 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 €1 million 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 €1 million registered a decrease, falling to 5.33% from 6.33% in May.