Skip to content
info@zambartaslegal.com
Nicosia, Cyprus
00357 22 262108
MICHALIS C. ZAMBARTAS, Advocates, Legal & Tax Advisors
  • Home
  • The Firm
  • Practice Areas
  • Insights
  • Contact Us

Insights

  • Home
  • Company Law
  • EU Negative Interest Rate Policy in Cyprus
Banking Law, Company Law

EU Negative Interest Rate Policy in Cyprus

January 10, 2020January 27, 2020Michalis C. ZambartasCorporate account holders, Cyprus, EU Negative Interest Rate, Hellenic Bank

As of March 3 2020, Hellenic Bank Plc will start charging negative interest rates on deposits exceeding EURO 100,000. In accordance with the Cyprus News Agency these will only be applicable to corporate account holders.

The charge is expected to be 0.60 per cent.

It is possible that other major Cypriot Banks will follow.

Negative interest rates are being introduced in many countries in the EU due to  the introduction by the European Central Bank of negative interest rates in June 2014, lowering the  deposit rate to -0.1%. Negative interest rates were introduced in order to encourage Banks to lend to businesses rather than holding deposits in order to stimulate the economy.

In practice the Banks are actually being penalised by fines for holding deposits and thus prefer making profits by providing loans and offering investment services.

27 January 2020, Update – EU Negative Interest Rate Policy in Cyprus

Post navigation

The Moneyval Report for the Republic of Cyprus is nearing completion
British Tax Havens to Share Data with Russian Authorities

Recent Posts

  • Cyprus Changing its Regime on Reduced VAT for First Homes: an Update
  • Cyprus Civil Registry and Migration Department Terminates the Electronic Booking Platform for Appointments
  • Cyprus Introduces a New Computerised Unified Tax Management System “Tax for All”
  • British Virgin Islands, Costa Rica, Marshall Islands and Russia Included in the EU List of Non-Cooperative Jurisdictions for Tax Purposes
  • Deadline for the Payment of Annual Levy for 2022 for Cypriot Companies

Archives

Categories

Disclaimer

This website is for general information purposes only. The content of the website is not intended to provide and does not provide any legal or other professional advice. You should always seek and consult a qualified lawyer for legal issues.
For more information please see our Legal Notices.

Lawyer Zone by Acme Themes
  • Legal Notices
  • Cookie Policy
  • Corporate Social Responsibility