This is an archived release.
Higher loan margin
Interest rates on loans from banks and mortgage companies increased in the second quarter of 2013, while the interest rate on loans from state lending institutions fell. The banks’ deposit rate fell. The loan margin and interest rate margin in banks increased, while the deposit margin fell.
|2nd quarter 2013||1st quarter 2013|
|Interest rates including commissions on loans|
|State lending institutions||2.47||2.52|
|Life insurance companies||3.83||3.78|
|Financial corporations, total||4.17||4.07|
|The Norwegian Public Service Pension Fund||2.25||2.25|
|Interest rates on deposits|
|Banks and mortgage companies. Loans margin||2.62||2.28|
|Banks. Interest rate margin||2.58||2.36|
|Banks. Deposits margin||-0.45||-0.38|
The loan margins in banks and mortgage companies increased by 0.34 percentage points in the second quarter of 2013 to 2.62 per cent. The interest rate on loans between banks, NIBOR, fell by 0.23 percentage points to 1.69 per cent, the lowest rate ever observed. The deposit margin fell by 0.07 percentage points in the first quarter of 2013 to – 0.45 per cent, the lowest rate since the fourth quarter of 2008. The banks’ interest margin increased by 0.22 per cent to 2.58 percentage points.
Higher interest rate on loans in banks and mortgage companies
The average interest rate on loans from banks and mortgage companies increased by 0.11 percentage points in the second quarter of 2013 to 4.31 per cent. Banks and mortgage companies’ interest rates to households increased by 0.17 percentage points, while interest rates on loans to private non-financial corporations were more or less stable at 4.46 per cent.
The interest rate on loans from state lending institutions (excluding loans with zero interest rate) fell by 0.04 percentage points to 2.90 per cent in the second quarter of 2013. The interest rate on loans from the Norwegian Public Service Pension Fund was unchanged at 2.25 per cent.
At the end of the second quarter of 2013, the interest rate statistics include data from 141 banks, 29 mortgage companies, 6 life insurance companies, 3 state lending institutions and the Norwegian Public Service Pension Fund. The shares of loans from banks, mortgage companies, state lending institutions and life insurance companies were 52, 39, 8 and 1 per cent of total loans respectively.
The three state lending institutions are the Norwegian State Housing Bank, the Norwegian State Educational Loan Fund (Lånekassen) and Innovation Norway. The interest rates on loans from Lånekassen, the Norwegian State Housing Bank and the Norwegian Public Service Pension Fund are determined on the basis of the interest rates on government bonds and treasury bills.