Commentary on MFI interest rates

October 2025

Interest rates on new business

Interest rates on new deposits of households recorded the largest change for overnight deposits in October. As regards non-financial corporations, interest rates on deposits in the same category saw the largest change.

The interest rate on household deposits with agreed maturity increased to 2.89%. The interest rate on overnight deposits stood at 1.40%, up by 0.03 percentage point. The interest rate on current account deposits was flat at 0.13% for the second consecutive month. The interest rate on deposits redeemable at notice increased slightly to 1.66% (the only rate to include, besides the household sector, deposits of non-financial corporations, which are negligible in this category).

The rate on deposits of non-financial corporations with agreed maturity was flat at 2.92%. The interest rate on overnight deposits rose slightly, to 1.02%. The interest rate on current account deposits was flat at 0.56%. Deposits with agreed maturity of up to one year (which as a rule account for 100% of all deposits with agreed maturity in the case of this sector) were also unchanged at 2.92%.

Chart 1 – Interest rates of commercial banks on CZK deposits held by Czech residents – new business
Interest rates of commercial banks on CZK deposits held by Czech residents – new business

Source: ARAD data series system

Within interest rates on new loans to households, consumer credit recorded the most significant change in October. Interest rates on loans to non-financial corporations recorded the largest changes for loans of over CZK 30 million.

The overall interest rate on consumer credit, loans for house purchase and other loans fell to 5.37%. The interest rate on consumer credit decreased by 0.11 percentage point month on month to 7.87%. The interest rate on loans for house purchase decreased slightly to 4.58%. The interest rate on building society loans picked up to 5.36%. The interest rate on mortgage loans decreased to 4.50%, down by 0.27 percentage point on a year earlier. The interest rate on other loans declined to 5.05%. The interest rate on overdrafts and revolving loans decreased to 14.56%. Within this category, the interest rate on credit cards fell to 17.19% and the interest rate on overdrafts was flat at 15.93%.

Interest rates on new loans to non-financial corporations (excluding overdrafts, revolving loans and credit cards) fell to 5.05%. The rate on loans of up to CZK 7.5 million rose to 5.54%. The rate on loans of over CZK 7.5 million and up to CZK 30 million grew to 5.40% and the rate on new loans of over CZK 30 million decreased by 0.30 percentage point to 4.96%. The interest rate on overdrafts, revolving loans and credit card loans decreased to 5.33%. Within this category, the interest rate on overdrafts declined slightly to 5.47%.

Chart 2 – Interest rates of commercial banks on CZK loans provided to Czech residents – new business
Interest rates of commercial banks on CZK loans provided to Czech residents – new business

Source: ARAD data series system

Interest rates on outstanding amounts

The average interest rates on outstanding amounts of deposits of households changed by just a few basis points in October. Similar changes were recorded for non-financial corporations.

The average changes in interest rates on outstanding amounts of loans to households were just a few basis points in October. Interest rates on outstanding amounts of loans to non-financial corporations changed at the same pace.

The overall interest rate on loans to households edged up to 4.55%. The interest rate on loans for house purchase also rose, reaching 3.79% (with the rate on outstanding amounts of mortgage loans picking up to 3.65%). The rate on consumer credit dropped to 8.41% and the rate on other loans was flat at 4.77%.

The average interest rate on loans to non-financial corporations was also unchanged at 5.18%. The rate on loans with maturity of up to one year decreased to 5.35%. The rate on loans with maturity of over one year and up to five years decreased slightly to 5.84%. The rate on loans with maturity of over five years rose to 4.86%.

Notes: