Cyprus loan volumes surge to €447.9 million in September

New loan volumes recorded a sharp increase in September 2025, according to statistics on interest rates applied by monetary financial institutions (MFIs) in Cyprus released by the Central Bank of Cyprus (CBC).

The statistics cover the average interest rates applied by MFIs on deposits and loans of euro area residents in euro, as well as data regarding volumes (amounts) of new euro denominated loans for the reference month of September 2025.

These figures are included in the October 2025 edition of Monetary and Financial Statistics, with comparative data for the eurozone available in the European Central Bank’s data portal.

The interest rate on deposits from households with an agreed maturity of up to one year recorded an increase to 1.10 per cent, compared with 1.08 per cent in the previous month.

The corresponding interest rate on deposits from non-financial corporations also registered an increase, rising to 1.24 per cent, compared with 1.15 per cent in the previous month.

Conversely, the interest rate on consumer credit decreased to 6.46 per cent, compared with 7.09 per cent in the previous month.

The interest rate on loans for house purchase also decreased to 3.63 per cent, compared with 3.91 per cent in the previous month.

The Central Bank noted that the portfolio of loans for house purchase contains various types of loans, such as for primary residence and vacation houses, which bear different risk and interest rates, explaining that the composition varies from month to month, resulting in changes to the level of the weighted average interest rate.

The interest rate on loans to non-financial corporations for amounts up to €1 million increased to 4.32 per cent, compared with 4.19 per cent in the previous month.

The interest rate on loans to non-financial corporations for amounts over €1 million registered a decrease to 3.79 per cent, compared with 4.30 per cent in the previous month.

Pure new loans recorded a significant increase, reaching €447.9 million (from a total of €770.5 million) in September 2025, compared with €245.5 million (from a total of €420.4 million) in the previous month.

Pure new loans for consumption increased to €21.2 million (from a total of €22.6 million), compared with €20.4 million in the previous month (from a total of €21.4 million).

Pure new loans for house purchase recorded an increase to €112.9 million (from a total of €165.4 million), compared with €96.3 million in the previous month (from a total of €144.1 million).

Pure new loans to non-financial corporations for amounts up to €1 million increased to €62.7 million (from a total of €83.7 million), compared with €38.1 million in the previous month (from a total of €52.6 million).

Pure new loans to non-financial corporations for amounts over €1 million registered a substantial increase to €246.7 million (from a total of €492.5 million), compared with €83.9 million in the previous month (from a total of €190.6 million).

In comparison with the other euro area countries, the loan interest rate level in Cyprus is close to the respective median of the eurozone.

More specifically, in August 2025 the interest rate on outstanding loans to households stood at 3.93 per cent, compared with 3.91 per cent for the eurozone countries.

Moreover, the interest rate on outstanding loans to non-financial corporations stood at 4.22 per cent, compared with 3.80 per cent for the eurozone countries.

In contrast to loan interest rates, deposit interest rates are significantly lower than the respective eurozone median.

More specifically, in September 2025 the interest rate on outstanding deposits with agreed maturity from households stood at 0.78 per cent, compared with 1.74 per cent for the eurozone countries.

Moreover, the interest rate on outstanding deposits with agreed maturity from non-financial corporations stood at 1.08 per cent, compared with 1.94 per cent for the eurozone countries.