Interest rates on outstanding deposits in Cyprus stand at the lower level within the eurozone, while the interest rate level on new loans in Cyprus is comparable to the bloc’s median. That’s according to the Central Bank of Cyprus, which on Thursday released statistics on the average interest rates applied by financial institutions in Cyprus on deposits and loans of euro area residents for March.
According to the CBC, this might be attributed to the excess liquidity of credit institutions in Cyprus, which is among the higher ones within the eurozone. Indicatively, the Liquidity Coverage Ratio (LCR) in Cyprus in March stood at 315%, compared with 186% (median) and 163% (mean) in the European Union in December 2025 (the latest available data), as well as to the short range of the banking sector in Cyprus.
The interest rate on deposits from households with an agreed maturity of up to one year recorded a marginal decrease to 1.18%, compared with 1.19% in the previous month.
The corresponding interest rate on deposits from non-financial corporations registered an increase to 1.39%, compared with 1.19% in the previous month.