Why interest rates on deposits remain low
The excess liquidity available to Greek banks eases any pressure on them to attract deposits through increased interest rates.
Apart from the fact that 85% of Greeks only keep up to 5,000 euros in banks, amounts usually used for daily transactions, this money is in the form of short-terms deposits, where the interest rate is very low across Europe.
That is what keeps interest rates on deposits low, according to competent banking sources on the occasion of a Competition Commission investigation.
The latter is expected to complete within 2024 its interim report on the probe it has started on deposit interest rates.
