In the last twelve months, fixed-term deposits and savings accounts have shown an increase of 16.1%.
According to data from the Bank of Guatemala, up to and including May 14, there were $5.62 billion (Q45.548.billion) in fixed-term, regular and special savings account deposits.
Leonel Díaz reported statements by Édgar Barquín, Bank Superintendent, in his article in Prensalibre.com: "We that there has been an increase in saving and fixed-term deposits and also financial bond transfers to deposits within financial institutions."
According to Banguat, the increases in 2008 in the interest rates were due mainly to uncertainty in the banking sector.
Prensalibre.com reports on its website: "Adverse conditions, lack of liquidity (money) and the intention of the banks to protect themselves by lending less, caused interest rates to increase in 2008, according to explanations from the president of the Central Bank, Maria Antonieta del Cid de Bonilla.
The monetary board decided yesterday to keep the main interest rate at 7.25%, despite the request from the business sector to lower it in order to revive the economy.
How many houses are not being built and how many business projects have been stopped due to the lack of credit or the increase in interest rates? And, how many potential jobs have been lost as a result?
The president of the Bank of Guatemala has warned about the situation of the banks in country, which have exhausted their credit expansion capability.
This comes after two years during which their portfolios grew more by than 30%. "They need to be capitalized," Antonieta de Bonilla was reported as saying.
The Guatemalan economy is going through a slowdown as a result of the decrease in general consumer spending mainly due to the increase in the rate of inflation which by midyear had reached 7.54%. Even though the Bank of Guatemala decided to raise the interest rate to 7.25% as a corrective measure, this on the other hand represents further restrictions on consumer spending.