The European Central Bank (ECB) has announced a decrease in its Reference Rate from 4.25 per cent to 3.75 per cent.

As a result of the ECB interest rate change, HSBC Bank Malta plc is reducing its Home Loan Base Rate (HMLR) accordingly from 4.25 per cent to 3.75 per cent. The HMLR is the base for the Bank’s variable mortgage lending.

Reflecting the current market conditions, HSBC has adjusted its Base Rate for all other lending to 3.95 per cent.

The revised base rates are effective as from Monday.

HSBC Bank Malta plc has also reduced savings rates in line with the ECB rate cut, with the exception of the HSBC On Line Savings Account which has been retained at an attractive three per cent per annum. This is in line with bank policy to encourage use of electronic banking and its automated channels.