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Deposit And Lending Rates Decline In Cyprus: November Report Highlights

The Central Bank of Cyprus (CBC) has released its latest statistics for November, showing a general decline in both deposit and lending rates, with the notable exception of large corporate loans exceeding €1 million. The report also highlights a surge in new loan activity across various categories, indicating a dynamic shift in the financial landscape of Cyprus.

Deposit Rates See Moderate Declines

Interest rates on deposits for both households and non-financial corporations recorded slight decreases in November:

  • Households: The interest rate for deposits with a maturity of up to one year fell to 1.70%, compared to 1.76% in October.
  • Non-Financial Corporations: Corporate deposit rates also declined, dropping to 1.99%, down from 2.19% in the previous month.

Lending Rates: A Mixed Picture

While most lending rates decreased in November, large corporate loans above €1 million experienced a rise:

  • Consumer Loans: Rates dropped significantly to 6.99%, a notable decline from 8% in October.
  • House Purchase Loans: The interest rate for home loans decreased to 4.50%, compared to 4.62% in the previous month.
  • Corporate Loans:
    • Loans to non-financial corporations for amounts up to €1 million saw a decline to 5.01%, down from 5.45% in October.
    • In contrast, loans exceeding €1 million recorded an increase in rates to 4.97%, up from 4.72%.

New Loan Activity Surges

November saw a significant rise in the total volume of new loans, which increased to €635.7 million, compared to €533.8 million in October.

  • Consumer Loans:
    New consumer loans rose to €25.3 million, of which €22.3 million were classified as pure new loans. This marks an increase from €21.3 million (including €20.2 million pure loans) in October.
  • House Purchase Loans:
    Home loans increased to €129.5 million, with €98.5 million in pure new loans, compared to €115.7 million and €96.1 million, respectively, in October.
  • Corporate Loans:
    • Loans for amounts up to €1 million rose to €73.5 million, including €57.8 million in pure new loans, up from €57.3 million and €41.8 million, respectively, in October.
    • Loans exceeding €1 million also grew significantly to €398.2 million, although pure new loans in this category decreased to €154.5 million, down from €201.8 million in October.

Implications For Cyprus’ Financial Sector

The combination of falling interest rates and increased loan activity reflects evolving financial trends in Cyprus. The lower borrowing costs appear to be encouraging higher loan uptake across sectors, particularly in consumer and housing markets. However, the increase in rates for large corporate loans suggests a nuanced approach by financial institutions in addressing varying market needs.

As businesses and households continue to adapt to changing economic conditions, these trends will be crucial in shaping the trajectory of Cyprus’ financial landscape heading into 2025.

Europe’s Deadly Summer Heat Exposed The Cost Of A Warming Continent

Europe experienced its deadliest summer for heat-related deaths on record in 2026, with an estimated 24,400 excess deaths linked to extreme temperatures across 30 countries. Researchers estimate that human-induced climate change was responsible for around 32,000 of the deaths attributed to heat in the study’s broader analysis, accounting for 65% of the total.

The findings highlight the growing public-health consequences of global warming, largely driven by fossil fuel use, as extreme heat becomes more frequent and severe.

A Summer Of Dangerous Heat

Between June and August, heatwaves pushed temperatures in Western Europe to an average of 2.9°C above the 1991–2020 norm, with some days reaching 12°C above average. Nearly a third of estimated heat-related deaths occurred during a particularly intense heatwave between 17 June and 1 July.

“These numbers are a stark reminder that our hotter, more extreme summers are having an increasingly severe impact on public health,” said Dr Clair Barnes, a researcher at Imperial College London and co-author of the study.

The estimated toll exceeded previous peaks of around 29,000 deaths in summer 2022 and 28,000 in 2003 across the region studied.

How Researchers Estimated The Toll

Researchers modelled the relationship between temperature and mortality across 854 urban areas in the EU, UK, Norway and Switzerland, covering around 40% of the population in the 30 countries studied.

The analysis incorporated temperature records, age, socioeconomic conditions, environmental factors and access to healthcare. By comparing actual temperatures with those expected without human-induced warming, the team estimated the additional deaths attributable to climate change.

Final official mortality figures for summer 2026 are not yet available in many countries, and heat-related deaths are often underreported because their effects can be difficult to identify directly.

Older People Face The Greatest Risk

People aged 85 and over accounted for roughly half of the estimated deaths. However, the impact extended across age groups, with around 800 excess deaths among adults aged 20–44 and approximately 6,000 among people under 65.

Southern Europe experienced the highest mortality burden, reflecting hotter temperatures and other vulnerabilities, including air pollution, limited green space and unequal access to healthcare and heat-alert systems.

Italy, France And Spain Record Highest Toll

Italy recorded an estimated 13,303 heat-related excess deaths, followed by France with 7,268 and Spain with 6,824. Germany recorded around 6,340, while the UK saw an estimated 4,354 deaths.

In the UK, the heat also placed significant pressure on healthcare services. Andrew Hartle, Professor of Practice of Anaesthesia at Imperial College Healthcare, said demand during the summer resembled that of a severe winter virus season.

Cities Urged To Strengthen Heat Protection

Researchers say cities can reduce the risks through climate shelters, external shading and building retrofits, alongside measures to help residents avoid exposure during the hottest hours. Checking on vulnerable people, staying hydrated and following heat alerts are also important.

The researchers stress that adaptation must go hand in hand with reducing fossil fuel use to limit further warming. The findings underline that extreme heat is already a major public-health threat across Europe, with thousands of lives at risk each summer.

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