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This is an archived release.
Minor decline in share of fixed interest
The share of fixed interest rate loans from financial corporations to Norwegian employees fell by 0.1 percentage points in the 1st quarter of 2011. The share remained unchanged in banks, but decreased in mortgage companies and state lending institutions.
The share of loans with fixed interest from banks, mortgage companies and state lending institutions to Norwegian employees was 5.7, 4.7 and 19.3 per cent respectively at the end of the 1st quarter of 2011. Hence, the share of loans with fixed interest from financial corporations to employees decreased from 6.4 per cent at the end of the 4th quarter of 2010 to 6.3 per cent at the end of the 1st quarter of 2011. This share decreased in every period in 2010, from 7.3 per at the 4th quarter of 2009. The share of loans with fixed interest in the interval 1-5 years decreased in the 1st quarter of 2011. However, the share of loans with fixed interest for less than 1 year increased by approximately the same amount in the same period. This applied to banks, mortgage companies and state lending institutions.
Highest share in state lending institutions
The share of loans with fixed interest in state lending institutions decreased from 19.4 per cent in the 4th quarter of 2010 to 19.3 per cent in the 1st quarter of 2011. The high share of fixed interest loans in state lending institutions compared to other financial institutions may be due to differences in the supply of loan products. Banks and mortgage companies also offer credit lines and short-term repayment loans without a fixed interest rate option.
| Banks | Mortgage companies | State lending institutions | Mean | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Less than 1 year | 1 to 5 years | More than 5 years | Total | Less than 1 year | 1 to 5 years | More than 5 years | Total | Less than 1 year | 1 to 5 years | More than 5 years | Total | Less than 1 year | 1 to 5 years | More than 5 years | Total | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Q1 2008 | 1.1 | 2.6 | 0.7 | 4.4 | 0.6 | 0.8 | 0.5 | 1.9 | 7.1 | 14.0 | 0.0 | 21.1 | 1.5 | 3.4 | 0.6 | 5.5 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Q2 2008 | 0.9 | 2.7 | 0.7 | 4.4 | 0.3 | 0.8 | 0.3 | 1.5 | 7.9 | 12.9 | 0.0 | 20.9 | 1.4 | 3.3 | 0.6 | 5.3 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Q3 2008 | 0.8 | 2.9 | 0.7 | 4.4 | 0.2 | 0.8 | 0.3 | 1.3 | 6.5 | 13.5 | 0.1 | 20.0 | 1.1 | 3.4 | 0.6 | 5.1 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Q4 2008 | 0.9 | 2.7 | 0.6 | 4.2 | 0.4 | 1.4 | 0.6 | 2.3 | 3.6 | 13.0 | 0.1 | 16.7 | 1.0 | 3.2 | 0.6 | 4.8 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Q1 2009 | 1.2 | 4.4 | 0.7 | 6.3 | 0.3 | 3.2 | 0.7 | 4.2 | 3.3 | 13.4 | 0.1 | 16.8 | 1.2 | 4.8 | 0.7 | 6.7 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Q2 2009 | 1.4 | 4.6 | 0.7 | 6.6 | 0.3 | 3.4 | 0.8 | 4.5 | 3.2 | 17.0 | 0.2 | 20.4 | 1.2 | 5.2 | 0.7 | 7.1 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Q3 2009 | 1.3 | 4.8 | 0.7 | 6.8 | 0.3 | 3.6 | 0.7 | 4.6 | 2.3 | 19.7 | 0.2 | 22.2 | 1.1 | 5.6 | 0.7 | 7.4 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Q4 2009 | 1.3 | 4.8 | 0.7 | 6.8 | 0.3 | 3.6 | 0.7 | 4.6 | 2.9 | 19.4 | 0.2 | 22.5 | 1.1 | 5.6 | 0.7 | 7.3 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Q1 2010 | 1.7 | 4.4 | 0.7 | 6.7 | 0.2 | 4.1 | 0.7 | 5.0 | 2.1 | 18.7 | 0.2 | 21.0 | 1.2 | 5.4 | 0.7 | 7.2 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Q2 2010 | 1.4 | 4.1 | 0.6 | 6.2 | 0.3 | 4.0 | 0.7 | 4.9 | 2.3 | 16.4 | 0.2 | 18.9 | 1.0 | 5.0 | 0.6 | 6.7 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Q3 2010 | 1.3 | 4.0 | 0.7 | 5.9 | 0.3 | 4.0 | 0.8 | 5.0 | 2.1 | 18.2 | 0.3 | 20.6 | 1.0 | 5.0 | 0.7 | 6.7 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Q4 2010 | 1.3 | 3.8 | 0.7 | 5.7 | 0.3 | 3.9 | 0.8 | 5.0 | 3.8 | 15.2 | 0.3 | 19.4 | 1.1 | 4.6 | 0.7 | 6.4 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Q1 2011 | 2.1 | 2.9 | 0.7 | 5.7 | 1.2 | 2.7 | 0.8 | 4.7 | 5.9 | 13.0 | 0.3 | 19.3 | 2.0 | 3.5 | 0.7 | 6.3 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fixed interest loans in NorwayFixed interest rate loans give predictability for interest costs, and can be regarded as an insurance against increasing interest rates. There are several possible causes for the traditionally low share of loans with fixed interest in Norway. It may be that borrowers consider fixed interest more of a speculation than insurance. Another explanation for the low share of fixed interest may be that the Central bank’s projections for the key policy interest rate are clearly communicated. |
The statistics is now published as Interest rates in banks and mortgage companies.
Additional information
This statistics show loans broken down by the remaining fixed interest rate period. The fixed interest rate period is measured as the time from the end of the reported period to the next interest rate regulation. Differences between figures in the text and the tables due to rounding off may occur.
Contact
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Statistics Norway's Information Centre
E-mail: informasjon@ssb.no
tel.: (+47) 21 09 46 42