As central banks begin to tighten monetary policy, it is prompting some lenders to finally raise rates on deposits – a relief for savers who have lost ground by holding cash over the past decade.

Deutsche Bank's head of private banking, Lars Stoy, expects deposit interest rates to increase after the European Central Bank turned to raising rates, a media report said.

"A few weeks ago, we at Deutsche Bank began to raise the deposit rates for our customers," the Frankfurter Allgemeine Zeitung quoted him as saying. A Reuters report (6 October) carried a short translation. 

This news service has contacted the bank for comment and may update in due course.

"But I assume that further steps will follow next year, for the Deutsche Bank brand as well as Postbank,” Stoy said.

Competition among banks for deposits will increase again, Stoy was quoted as saying: "We are already thinking about deposit campaigns."
Deposit rates are rising around the world. For example, in early August, DBS Bank in Singapore raised interest rates on its flagship Multiplier deposit account. United Overseas Bank also made a similar move, although not across the board.