The Banks' Interest Rates - Part 1

Monetary review, 4th Quarter 2012

Authors Andreasen, Brian Liltoft; Kramp, Paul Lassenius; Kuchler, Andreas
Subject Monetary Review
Type Monetary Review  
Year 2012
Published 31 January 2013
Abstract icon The banks' retail and corporate interest rates roughly fluctuate with Danmarks Nationalbank's interest rates. How closely they are linked varies during a business cycle. During the current economic slowdown, Danmarks Nationalbank has lowered its interest rates on several occasions, but the banks' interest rates have not fallen correspondingly. This article describes the reasons for this.