Yields on loans (B6)

This data shows the interest income earned by banks as a percentage of the value of their loans, including fixed and floating rate loans.
Released
11 January 2022 03:00 p.m.
Next release
08 February 2022 03:00 p.m.
Source
Reserve Bank of New Zealand
Periodicity
Monthly
Housing lending Business lending
Date Yield on residential mortgage loans (Total)1 Yield on residential mortgage loans (Floating)2 Yield on residential mortgage loans (Fixed)3 Yield on total business loans4
Previous years:
Nov 2019 4.19 4.61 4.11 4.02
Nov 2020 3.42 3.75 3.37 3.27
Monthly:
Dec 2020 3.34 3.79 3.27 3.25
Jan 2021 3.27 3.77 3.19 3.23
Feb 2021 3.20 3.72 3.12 3.21
Mar 2021 3.15 3.72 3.07 3.20
Apr 2021 3.06 3.75 2.96 3.18
May 2021 3.01 3.74 2.91 3.18
Jun 2021 2.95 3.71 2.84 3.17
Jul 2021 2.90 3.67 2.79 3.14
Aug 2021 2.86 3.64 2.75 3.17
Sep 2021 2.83 3.62 2.72 3.20
Oct 2021 2.84 3.64 2.73 3.28
Nov 2021 2.86 3.68 2.76 3.36
  1. The monthly yield on residential mortgage loans (Total) is a weighted average yield on the total of all types of loans (floating and fixed) for registered banks fully secured on residential property.
  2. The monthly yield on residential mortgage loans (Floating) is a weighted average yield on the total of all floating rate loans for registered banks fully secured on residential property.
  3. The monthly yield on residential mortgage loans (Fixed) is a weighted average yield on the total of all fixed rate loans for registered banks fully secured on residential property.
  4. The monthly yield on total business loans is a weighted average yield on the total of all business loans for registered banks (not fully secured by residential property).

Coverage, Periodicity, and Timeliness of Data

Coverage

Yields on loans and costs of deposits at the end of month for registered banks.

Periodicity

Monthly

Timeliness

Data is published approximately five weeks after the end of the reference month.

Access by the public

Data Release

Data is released on the Reserve Bank’s website.

Go to Statistics.

Statistics release calendar

The Statistics Release Calendar provides a long-term plan of scheduled releases. It is updated and released on the first working day of the month.

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Integrity

Dissemination of terms and conditions under which official statistics are produced, including confidentiality of individual responses

Data are collected under Section 36 of The Reserve Bank of New Zealand Act 1989 (The Act).

The Reserve Bank of New Zealand publishes only aggregated data. Individual institutional data is confidential.

Find out more about the Reserve Bank Act 1989.

Provision of information about revisions and advance notice of major changes in methodology

Revisions are generally published when the table is next due to be updated and released. Should revisions need to be made more promptly, a note is posted on the website as a ‘special note’.

Any major changes in methodology are posted on the website as a special note.

Quality

Dissemination of documentation on methodology and sources used in preparing statistics

A copy of the Income Statement survey template and definitions is available from our Surveys page.

Go to the Surveys page.

Dissemination of statistics that support statistical cross-check and provide assurance of reasonableness

Interest.co.nz publishes mortgage interest rates for a range of terms.

Yield on residential mortgage loans (Total)

The monthly yield on residential mortgage loans (Total) is a weighted average yield on the total of all types of loans (floating and fixed) for registered banks fully secured on residential property.

It is calculated using the sum of each bank’s interest income received for both floating and fixed residential mortgage loans compared to the sum of a two period moving average of the value of these loans. Using a two period moving average for the value of loans takes into account that not all loans at the end of the reporting period would have contributed to the interest income over the reported month.

The yield takes into account the number of days within each month and is annualised. Each yield is calculated as follows:

The sum of each bank’s interest income received on loans

X

365

X

100

The sum of a two period moving average of the value of loans

number of days in a month

Yield on residential mortgage loans (Floating)

The monthly yield on residential mortgage loans (Floating) is a weighted average yield on the total of all floating rate loans for registered banks fully secured on residential property.

It is calculated using the sum of each bank’s interest income received for floating residential mortgage loans compared to the sum of a two period moving average of the value of these loans. Using a two period moving average for the value of loans takes into account that not all loans at the end of the reporting period would have contributed to the interest income over the reported month. 

The yield takes into account the number of days within each month and is annualised. 

See Yield on residential mortgage loans (Total) above for the calculation formula.

Yield on residential mortgage loans (Fixed)

The monthly yield on residential mortgage loans (Fixed) is a weighted average yield on the total of all fixed rate loans for registered banks fully secured on residential property.

It is calculated using the sum of each bank’s interest income received for fixed residential mortgage loans compared to the sum of a two period moving average of the value of these loans. Using a two period moving average for the value of loans takes into account that not all loans at the end of the reporting period would have contributed to the interest income over the reported month. 

The yield takes into account the number of days within each month and is annualised. 

See Yield on residential mortgage loans (Total) above for the calculation formula.

Yield on total business loans

The monthly yield on total business loans is a weighted average yield on the total of all business loans for registered banks (not fully secured by residential property).

It is calculated using the sum of each bank’s interest income received for total business loans compared to the sum of a two period moving average of the value of these loans. Using a two period moving average for the value of loans takes into account that not all loans at the end of the reporting period would have contributed to the interest income over the reported month.

The yield takes into account the number of days within each month and is annualised.

See Yield on residential mortgage loans (Total) above for the calculation formula.

Cost of total deposits

The monthly cost of total deposits is a weighted average cost on the total of savings (call) accounts and term deposits for registered banks.

It is calculated using the sum of each bank’s interest expenses paid for both savings (call) accounts and term deposits compared to the sum of a two period moving average of the value of these deposits. Using a two period moving average for the value of deposits takes into account that not all deposits at the end of the reporting period would have contributed to the interest expenses over the reported month.

The cost takes into account the number of days within each month and is annualised. Each cost is calculated as follows:

The sum of each bank’s interest expenses paid on bank deposits

X

365

X

100

The sum of a two period moving average of the value of deposits

number of days in a month

Cost of savings (call) accounts

The monthly cost of savings (call) accounts is a weighted average cost on the total of savings (call) accounts for registered banks.

It is calculated using the sum of each bank’s interest expenses paid for savings (call) accounts compared to the sum of a two period moving average of the value of these deposits. Using a two period moving average for the value of deposits takes into account that not all deposits at the end of the reporting period would have contributed to the interest expenses over the reported month. 

The cost takes into account the number of days within each month and is annualised.

See Cost of total deposits above for the calculation formula.

Cost of term deposits

The monthly cost of term deposits is a weighted average cost on the total of term deposits for registered banks.

It is calculated using the sum of each bank’s interest expenses paid for term deposits compared to the sum of a two period moving average of the value of these deposits. Using a two period moving average for the value of deposits takes into account that not all deposits at the end of the reporting period would have contributed to the interest expenses over the reported month.

The cost takes into account the number of days within each month and is annualised.

See Cost of total deposits above for the calculation formula.

Symbols and conventions for summary table

0 Zero or value rounded to zero
- Not applicable
.. Not available
bold Revised/new
italics Provisional
light red background Historical

General notes

  • Individual figures may not sum to the totals due to rounding
  • Percentage changes are calculated on unrounded numbers
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