The domestic market offers a wide variety of deposits with diverse conditions. Traditionally, the longer the deposit term, the higher the interest rate. However, at present, there is a unique situation where short-term deposit rates have become more attractive.
The average weighted rate on KZT deposits attracted by banks in September dropped to 13.4%. Technically, this rate is the lowest since December 2022. Meanwhile, deposits with a term of one to three months remain the most profitable, with a rate of 15.4%.
“We expect a gradual decrease in the base rate, so now is a good time to open a deposit at a high rate,” explains Gulnara Musataeva, CEO of Nurbank. “Already, many banks are revising their deposit terms. Statistics from the National Bank of Kazakhstan show a reduction in cash circulation and an increase in non-cash turnover in the daily lives of the population, as the country's payment market continues to develop actively. More people are using banking applications for online transactions, and when there is a surplus of funds, they are transferred to current accounts and deposits of individuals.”
Experts are confident that the trend toward digitalization of deposit products and services will continue in the future. There is expected growth in the popularity of online deposits, offering higher rates and flexible fund management conditions via mobile banking applications. Banks will actively develop innovative deposit products integrated with other financial instruments, such as hybrid savings-investment solutions, enabling clients to optimize returns while maintaining a low risk level.
“Today, deposits are not only a simple and accessible banking product for retail clients but also an attractive investment tool for small and medium-sized businesses and corporate enterprises. There are various explanations for this. Firstly, deposit products provide an optimal risk-return balance in volatile financial markets. The current yield on deposits is above the inflation rate, which allows not only to preserve but also to increase capital,” concluded Gulnara Musataeva.
Placing significant amounts of funds on deposits is often accompanied by the provision of individual conditions by the bank for other banking products and services, such as lending, cash management services, or foreign exchange operations.
Source: https://prodengi.kz/post/na-rynke-depozitov-sladilas-unikalnaya-situaciya