head European Central Bank (ECB) Christine Lagarde banks from the eurozone raise interest who pays for deposit your customers “to fight inflationwe want ours Rate hikes approved The financial sector, including banks. I hope that since we want the monetary transfer to be channeled through the economy, banks will reflect these interest increases to interest rates. repayment of deposit. because that’s really should take place“, he stated in an interview with the Indian newspaper ‘The Economic Times’.
It is not the first time that a high representative of the monetary authority has expressed himself in these terms. Luis de Guindos, the company’s vice president, encouraged clients to take the initiative last September: “If you’re saving and you have a checking account or time deposit, I i would go to the bank to ask him: listen, update me the feeThe former Minister of Economy later stated that the increase in deposit rates would continue. would come “relatively fast”However, this increase more moderate and slow What the ECB is waiting for.
average type new deposit Maturity in the euro zone in December 1.44% for households and 1.83% for companies. This is a higher level than recorded in the same month of 2021 (0.23% and -0.31%), but these increases are lower than recorded by (1.21 and 2.14 percentage points). reference types determined by the ECB (2.5 points another point and a half last year and a few weeks ago, until available 3%). Spanish banks increased their deposit rates from 0.06% to 0.06%. 0.64% from 0.45% to 1.6% in families and companies.
The ECB wants banks to pay more deposits to help them meet their deposit target. break the inflationary spiral. Increases in rates, therefore, cooling the economy trying to fight inflation, reduce demand On the one hand, two ways of economic agents make the loan more expensive, so companies and households find borrowing more difficult and burdensome. On the other hand, increasing the value of savings, to encourage such savings and prevent money from being used to spend or invest.
Hence the central bank’s interest in European banks, which pay more for deposits. This loan typesThus, they reflected the increases in official rates more quickly. Average rate of the yen mortgage In the euro area, from 1.31% in December 2021 2.94%The average cost of new loans is companies increasing from 1.35% 3.41% in the same period. In Spain, it rose from 1.38% to 3.91% and from 1.3% to 3.28%, respectively.
The truth is that, deposit between spanish houses at levels held in banks historically high despite low profitability, but starts to go downIt remains to be seen whether the purchasing power of economic agents attracts them before inflation bites them, or whether they allocate money to other financial products. Thus, the household 991.161 million The euro deposited in banks in January is 13,181 million, and 1.3% less than the all-time high of one trillion euros reached in January, but 31,282 million and 3.2% from January 2022, as reported by the Bank of Spain this Monday. more. when it comes companiesthey were 300,258 million17,437 million, and 5.4% less than in December, and 4.219 million and 1.3% less than a year ago.