The Competition Commission is launching an investigation into the low levels of interest rates on Greek banks’ deposits.

Specifically, the Commission in its statement states:

The Competition Commission (CA), taking into account the structure of the domestic banking sector and the observed low deposit interest rates of Greek banks compared to the European average, decided on 18.07.2024 the initiation of research into the deposit interest industryexercising the relevant authority it has assumed based on article 40 of Law 3959/2011.

From July 2022 to September 2023, the European Central Bank (ECB) proceeded with successive increases in the deposit facility rate. In the period that followed, these increases passed, to some extent, on the interest rates offered by Greek banks to depositors, but this transfer seems to manifested itself on a limited scale and with delay, both in relation to other Member States, and to the older practice of the domestic banking system.

Through the sectoral investigation, the EA will investigate the conditions of competition in the market of bank deposits, in order to detect any distortions and to submit proposals to strengthen competition in the market, for the benefit of depositors (households and businesses).