Euro area companies put more money on deposit with Dutch banks

Statistical News Release
Date 24 July 2013

In May 2013, non-financial corporations had some EUR 37 billion tied up in savings accounts with Dutch banks. Not only are Dutch companies putting money on time deposits with Dutch banks, companies from other countries are also temporarily depositing their excess liquidity with banks in the Netherlands. Although in the past year, total corporate sector savings deposited with Dutch banks fell 23%, the sum that companies from other euro area countries deposited with Dutch banks in fact increased. These deposits with a fixed term to maturity on the whole carry slightly more favourable interest rates than demand deposits, but fixed-term deposits may not be withdrawn without penalty before the end of the pre-set term to maturity. 

Corporate sector fixed-term deposits held with Dutch banks and share of other euro area companies and non-euro area companies

In May 2013, some 24% (approximately EUR 9 billion) of the total amount of money that companies put on fixed-term deposits with banks in the Netherlands was attributable to companies located in one of the other euro area countries [note 1], Germany in particular. The same percentage could be attributed to non-euro area countries, such as the United Kingdom and to a lesser extent the United States. The share of non-euro area companies hovered around 30% for a long time, displaying a fairly structural decline in the past three years, which accelerated in the past six months. The share of other euro area companies remained fairly stable for a long time, but in fact climbed to 24% in May 2013. In absolute numbers, too, the total sum of funds put on deposit by other euro area companies in the past year increased by some EUR 0.5 billion to EUR 9 billion. Hence, the total amount of money held on deposit by euro area companies in May 2013 was equally large as that deposited by non-euro area companies.

 

[note 1]See also table 5.2.5 on the page 'Domestic mfi statistics (monetary)