Statistical Press Release - Banking interest rates on new loans and deposits – December 2019
Today, Banco de Portugal publishes statistics, in Table A.10 of the Statistical Bulletin and in BPstat, on banking interest rates on new loans and deposits of non-financial corporations and households for December 2019.
Interest rates on new loans
The average interest rate on new loans granted to non-financial corporations decreased by 33 basis points (b.p.) from December 2018, to 2.13%, reaching a new historical low.
Broken down by segment, and in year-on-year terms, the interest rate on operations below €1 million declined by 24 b.p. to 2.44%, corresponding to a new historical low, and the interest rate on operations above €1 million decreased by 43 b.p. to 1.86% (Chart 1).
In 2019 the volume of new loans granted to non-financial corporations totalled €32.8 billion, corresponding to a €1.2 billion increase from 2018.
In the same period, interest rates on new loans to households continued to show a downward trend.
In December 2019 the average interest rate on new loans to households for house purchase was 1.10%, a 31 b.p. decrease compared to the same period one year earlier (Chart 2).
The average interest rates on loans for consumption and other purposes were 6.58% (6.77% in December 2018) and 3.71% (3.75% in December 2018) respectively. In December 2019 the rate on loans for consumption reached a historical low.
In 2019 the volumes of new loans for house purchase, consumption and other purposes totalled €10.6 billion, €5.3 billion and €2.3 billion respectively.
Interest rates on new deposits
In December 2019 the average interest rate on new deposits with a maturity of up to one year of non-financial corporations stood at 0.06%, 4 b.p less than in December 2018 (Chart 3), posting a new historical low of this series. In 2019 the overall volume of new deposits of non-financial corporations amounted to €15.4 billion (€19.6 billion in the same period a year earlier), which corresponds to a new historical low.
In the case of households, in 2019 the volume of new operations corresponded to a new historical low of €56.3 billion, compared to €60.5 billion in 2018. The average interest rate on new deposits with a maturity of up to one year declined by 7 b.p. from the same period a year earlier, to 0.07% (Chart 4), reaching a new historical low.
Next update: 10 Mar. 2020
