The total value of deposits in Cyprus witnessed a substantial increase of €87.7 million in September 2023 but it came from businesses not households, Philenews reported on Thursday.
In fact, within the past three months of July, August and September household deposit outflows reached €74.7 million, €67.5 million and €82.7 million respectively. That is, a total of €224.9 million, according to Central Bank of Cyprus data.
Nonetheless, deposits have marked a recovery after two consecutive months of decline considering that there was a €175.5 million decrease in deposits in August 2023, while July 2023 saw a €301.1 million drop.
And the total deposits balance for September 2023 reached €52 billion, compared to €51.7 billion in September 2022.
“However, this is one side of the coin – one that shows deposits growing against a generally high inflationary and interest rate environment,” the report also said.
“An analysis of individual Central Bank data shows that, yes, deposits are generally increasing but not from households. They are increasing from business deposits which seem to be holding up,” it added.