Euro area bank interest rate statistics: October 2020

Composite cost-of-borrowing indicator for new loans to corporations and for new loans to households for house purchase broadly unchanged at 1.53% and at 1.36%, respectively
Composite interest rate for new deposits with agreed maturity from corporations broadly unchanged at -0.17%, with interest rate for overnight deposits from corporations unchanged at 0.00%
Composite interest rate for new deposits with agreed maturity from households broadly unchanged at 0.25%, with interest rate for overnight deposits from households unchanged at 0.02%

Bank interest rates for corporations

Data for cost of borrowing and deposit interest rates for corporations (Chart 1)

The composite cost-of-borrowing indicator, which combines interest rates on all loans to corporations, remained broadly unchanged in October 2020. The interest rate on new loans of over €1 million with a floating rate and an initial rate fixation period of up to three months remained broadly unchanged at 1.23%. The rate for new loans of the same size with an initial rate fixation period of over three months and up to one year increased by 11 basis points to 1.43%. This increase was due to developments in two euro area countries and was mainly driven by the interest rate effect. The rate for new loans of over €1 million with an initial rate fixation period of over ten years increased by 14 basis points to 1.27%. This increase was also due to developments in two euro area countries and was driven by both interest rate and weight effects. In the case of new loans of up to €250,000 with a floating rate and an initial rate fixation period of up to three months, the average rate charged remained broadly unchanged at 1.94%.
As regards new deposit agreements, the interest rate on deposits from corporations with an agreed maturity of up to one year stayed almost constant at -0.22% in October 2020. The interest rate on overnight deposits from corporations stayed unchanged at 0.00%.
The interest rate on new loans to sole proprietors and unincorporated partnerships with a floating rate and an initial rate fixation period of up to one year increased by 16 basis points to 2.24%. This increase was due to developments in two euro area countries and was driven by the interest rate effect.

Data for bank interest rates for corporations (Table 1)

Bank interest rates for households

Data for cost of borrowing and deposit interest rate for households (Chart 2)

The composite cost-of-borrowing indicator, which combines interest rates on all loans to households for house purchase, remained broadly unchanged in October 2020. The interest rate on loans for house purchase with a floating rate and an initial rate fixation period of up to one year remained broadly unchanged at 1.37%. The interest rate on housing loans with an initial rate fixation period of over one and up to five years and the interest rate on housing loans with an initial rate fixation period of over ten years stayed almost constant at 1.58% and 1.36%, respectively. The interest rate on loans for house purchase with an initial rate fixation period of over five and up to ten years decreased by 4 basis points to 1.27%, driven by both interest rate and weight effects. In the same period, the interest rate on new loans to households for consumption stayed constant at 5.23%.
As regards new deposits from households, the interest rate on deposits with an agreed maturity of up to one year remained broadly unchanged at 0.19% in October 2020. The interest rate on deposits redeemable at three months’ notice and the interest rate on overnight deposits from households showed no change at 0.35% and 0.02%, respectively.