Portuguese banks have little incentive to rapidly raise interest rates on their deposits. Firstly, these interest rates do not increase due to the Euribor, contrary to the remuneration of the credits they grant, so there is no obligation; and then the banks already have fairly high deposit volumes, not wanting to grow them even more. Bankers say competition will determine how interest in these apps evolves and they’re all closed on what’s going to happen.
Since January 2022, interest rates on new mortgages have been rising in Portugal (from 0.81% that month to 1.47% in June) and since December across the euro area (from 1.32 % to 1.9%), according to data released this week by the Bank of Portugal. A movement that reflects the evolution of the banking index used, the Euribor, which had evolved favorably in anticipation of what happened in July: the increase in the key rate for the euro zone from 0% to 0.5 %, with the deposit rate applied by banks with the European Central Bank going from -0.5% to 0%.