Czech banks cutting interest rates on savings accounts

Czech banks have started cutting interest rates on savings accounts in reaction to the Czech National Bank's decision to cut the base rate by a quarter of a percentage point to 6.75 per cent in December, Czech Television reported. Interest rates are currently between 2.0 and 6.25 per cent. But from the end of January they will fall on most savings accounts, the repoirt said. For example, Česká Spořitelna, the bank with the largest number of clients, will reduce the base rate from 4.0 to 3.5 percent.