Interest on new time deposits rose to 1,03% in April

In April, the average interest rate on new deposits was 2,27% in the euro zone,

The interest rate on new time deposits from individuals rose in April to 1,03%, surpassing the 1% barrier that had remained since 2015, announced today the Bank of Portugal (BdP), but Portugal maintains one of the lowest values in the euro area.

According to the BdP, “in April, the average interest rate on new term deposits from individuals increased from 0,90% to 1,03%, surpassing 1% for the first time since March 2015”.

In April, the average interest rate on new deposits was 2,27% in the euro zone, in a list in which Italy appears in the first position, with 3,08%, and Cyprus in the last, with 0,4%.

Portugal, which came second to last in March (with only Cyprus remunerating deposits at lower rates), occupied the third to last place in April, since in Slovenia new deposits recorded an average rate of 1,01% in that month.

According to the bank led by Mário Centeno, new deposits with terms of up to one year were remunerated, on average, at 0,95% (0,88% in March).

The average return on new deposits with maturities of one to two years was 1,29% and that on new deposits over two years was 1,12%.

These data are known on the same day that the new 'series E' savings certificates begin to be marketed, whose base interest rate was set at a maximum of 2,5%, a value that compares with the base rate of 3,5. XNUMX% remuneration for 'series E' CAs, whose sale was suspended last Friday.

The end of the 'series E' CA led to criticism from opposition parties, namely BE and PCP, who accuse the Government of giving in or doing a favor to the banks. An accusation rejected by the Government.

In April, the amount of new time deposits by individuals totaled 6.214 million euros, 1.349 million euros less than in the previous month, with the weight of deposits with a term of up to one year falling to 73% (against 81% in March).

With regard to new term deposits from companies, in April these had an average return of 2,33%. This rate had been 1,05% in January, 1,50% in February and 1,98% in March.

According to the BdP, new corporate deposit operations totaled 5.895 million euros in April, 851 million euros less than in March.