
The six-month European interbank offered rate (Euribor), to which most housing loans in Estonia are tied, dropped to 3.711% earlier this week, writes rus.err.ee. The last time Euribor was below this level was on May 19, 2023 – 3.707%. The Estonian banking sector predicts a further slow decline in this rate, which could reach 2.5% by the end of 2025. At the peak of 2023 in mid-October, the interest rate exceeded 4%. The maximum value of the Euribor rate in history was recorded in the winter of 2008 – almost 5.5%. Before the previous economic crisis, the usual Euribor level was between 2% and 5%.