Bank interest rates across the euro area showed only minor changes in January 2026, according to the latest statistics. Borrowing costs for both companies and households remained broadly stable, while some deposit rates recorded small declines.
The composite cost-of-borrowing indicator for new loans to corporations remained unchanged at 3.57%. Interest rates on large corporate loans showed slight movements depending on the loan terms, with long-term loans seeing small decreases. For example, loans with an initial rate fixation period of more than ten years fell by 12 basis points to 3.53%. At the same time, the interest rate for smaller corporate loans of up to €250,000 declined slightly to 3.59%.
On the deposit side, interest rates for companies showed mixed developments. The rate on new deposits with agreed maturity from corporations decreased by 4 basis points to 1.91%, while overnight corporate deposit rates remained unchanged at 0.52%.
For households, borrowing costs related to housing loans remained largely steady. The composite cost-of-borrowing indicator for new housing loans stayed close to its previous level at 3.35%. Some short-term mortgage rates declined slightly, while rates for loans with fixation periods of over ten years increased modestly to 3.23%. Meanwhile, the interest rate on consumer loans rose more significantly, reaching 7.51%.
Household deposit rates remained mostly stable. The interest rate on new deposits with agreed maturity stayed around 1.82%, while overnight deposit rates held steady at 0.25%.
Overall, the data suggest that euro area lending conditions changed only marginally at the start of 2026, with borrowing costs stabilizing after previous fluctuations and deposit rates showing limited movement.
