Banking

Eurobank Cyprus has added a new feature to its app that allows customers to open a savings or current account from a mobile phone in just a few minutes. Users choose between euros (EUR), US dollars (USD) or pounds sterling (GBP) and can then manage local and international transactions, issue a virtual debit card for their digital wallet or request a physical card. The service also covers other bank products, including the free "My Account 18–25" account aimed at people aged 18 to 25. Payments and transfers, including free SEPA instant payments, are also available through the app.

The Central Bank of Cyprus said July borrowing rates were broadly in line with the euro area median, while deposit rates remained the lowest in the euro area. The rate on new housing loans fell to 3.78 per cent from 4.04 per cent in June, and household deposits with an agreed maturity of up to one year declined to 1.27 per cent from 1.42 per cent. Consumer loan rates rose to 6.94 per cent from 6.50 per cent, while deposits from non-financial corporations rose to 1.56 per cent from 1.41 per cent. The CBC linked the divergence in deposit rates to the high liquidity of Cyprus banks and the relatively small size of the domestic banking market.

Central Bank of Cyprus data for August 2026 show the rate on new household deposits with an agreed maturity of up to one year rose to 1.35 per cent from 1.27 per cent in July, while the average rate on new house purchase loans jumped to 4.16 per cent from 3.78 per cent. The CBC found Cyprus deposit rates at the lower end of the euro area and said transmission of interest rate changes to deposits has been weaker in Cyprus than in almost all other euro area countries, for both households and businesses. Rates on outstanding loans and new lending, however, are broadly close to the euro area median. For households on the island this means low returns on savings alongside renewed growth in mortgage borrowing costs.