Deutsche Bank private banking head foresees more deposit rate increases -report

BERLIN (Reuters) – Deutsche Bank’s head of private banking, Lars Stoy, expects deposit interest rates to increase further after the European Central Bank turned to raising rates, the Frankfurter Allgemeine Zeitung quoted the executive as saying on Thursday.

“A few weeks ago, we at Deutsche Bank began to raise the deposit rates for our customers,” the newspaper cited him as saying. “But I assume that further steps will follow next year, for the Deutsche Bank brand as well as Postbank.”

Competition among banks for deposits will increase again, Stoy told the newspaper. “We are already thinking about deposit campaigns.”

Following up on a large July rate hike, the ECB last month raised its deposit rate to 0.75% from zero, the highest level since 2011, with moves promised for the next several meetings.

(Reporting by Sabine Wollrab; Writing by Miranda Murray; Editing by Christopher Cushing)