Hellenic Competition Commission: Distortions in low deposit rates

The Hellenic Competition Commission has identified four significant distortions in the bank deposit market, which contribute to low interest rates.

According to the interim report, the Greek market has not passed on the ECB's interest rate increases to depositors as much as other Eurozone countries.

The distortions include the concentration of the market in a few banks, the delayed pass-through of ECB increases, low customer mobility and high barriers to entry for new players.

The Commission proposes strengthening competition through new entrants, creating state savings accounts, developing savings products and increasing depositor mobility.

The final report is expected to identify specific measures to address market weaknesses.