Nicosia: The interest rate on consumer credit in Cyprus decreased to 7.12% in February 2026, down from 7.20% in January, as reported in the latest statistics by the Central Bank of Cyprus (CBC). Meanwhile, there was a notable rise in new loans for house purchases, which increased to £115.1 million compared to £95.7 million the previous month.
According to Cyprus News Agency, the interest rate on household deposits with an agreed maturity of up to one year saw a slight dip to 1.19% from 1.20% in January. Similarly, deposits from non-financial corporations experienced a reduction in interest rates to 1.19% from 1.34% previously.
The lending rates showed a downward trend, with consumer credit interest rates dropping to 7.12%, a decrease from the prior month's 7.20%. House purchase loans also saw a decline in interest rates, falling to 3.45% from 3.70%. The CBC highlighted that the portfolio of housing loans includes various loan types, which influences the average interest rate independently of any adjustments by monetary financial institutions.
Interest rates on loans to non-financial corporations for amounts up to £1 million decreased to 4.22%, down from 4.32% in January. For amounts exceeding £1 million, the interest rate registered a decrease to 4.15% from 4.34%.
Pure new loans saw an increase to £328.7 million in February from a total of £435.1 million, compared to £247.3 million the previous month from a total of £495.9 million. Specifically, new loans for consumption rose to £20.1 million from a total of £21.1 million, up from £18.9 million last month.
Further growth was observed in pure new loans for house purchases, which climbed to £115.1 million from a total of £151.6 million, compared to £95.7 million in January from a total of £138.1 million.
Loans to non-financial corporations also saw an upswing, with loans for amounts up to £1 million increasing to £47.5 million from a total of £60.4 million, compared to £40.1 million in January from a total of £53.1 million. Loans for amounts over £1 million registered an increase to £137.3 million from a total of £191.6 million, compared to £88.1 million in the previous month from a total of £277.2 million.