The 3.84 per cent average rate that applied to new Irish home loans in May was up from 2.72 per cent a year earlier and slightly ahead of the latest euro-zone average rate of 3.7 per cent. It was up 21 basis points from the average of 3.63 per cent in April.
The European Central Bank hiked its main lending rate from zero last July to 3.75 per cent in early Mary, as big central banks globally rushed to increase the cost of borrowing to try to rein in inflation. The ECB has since increased its rate to 4 per cent.
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