limit. The method used to determine the ceiling in these four countries is either fixed or relative to a non-market reference rate. Interestingly, Table 6 also shows that actual real rates are negative in four economies (Belgium, France and the United States) where monetary policy is likely to play a role, and in one country (Brazil), where the presence of a negative real floor (see below) in addition to the cap in a highly oligopolistic market may act as a focal point.

**Table 4: Lending Rate Ceilings, Commercial Banks**

||<br>Nomi|<br><br>nal|<br>Rea|<br>l|||
|---|---|---|---|---|---|---|
|Country|Ceiling|<sup>ctual</sup><br>Rate<br>|Ceiling|<sup>Actual</sup><br>Rate|Type of Limit<br>**Gap**|Product regulated|
|Argentina|55.00|55.00|0.95|0.95|**0.00** Absolute|Retail (credit card)|
|Vietnam|6.00|6.00|3.12|3.12|**0.00** Absolute|Business (real estate, agriculture)<br>|
|Bolivia|11.50|11.50|9.49|9.49|**0.00** Absolute|Retail (real estate, small business, micro), Business<br>(working capital, term, agriculture)|
|Mauritania|14.50|14.50|11.93|11.93|**0.00** Relative: Adm. rate|All retail/business loans|
|Marshall Isl.|15.00|15.00|14.36|14.36|**0.00** Absolute|Retail (consumer loans)|
|France|4.47|3.36|3.33|2.23|**1.10** Relative: Market Rate|All retail/business loans|
|Ecuador|9.83|8.58|9.54|8.29|**1.25** Absolute|All retail/business loans|
|Russia|11.67|8.75|6.89|4.10|**2.79** Relative: Market Rate|Retail (consumer, credit card, micro)|
|Spain|7.50|4.20|6.75|3.48|**3.28** Relative: Adm. rate|<br>Retail (consumer, real estate)|
|Croatia|6.93|2.69|6.11|1.90|**4.21** Relative: Market Rate|All retail loans|
|Italy|8.71|3.76|8.04|3.13|**4.91** Relative: Market Rate|All retail/business loans|
|N.Macedonia|10.50|5.21|9.66|4.41|**5.25** Relative: Adm. rate|All retail/business loans|
|Portugal|13.60|7.30|13.22|6.94|**6.28** Relative: Adm. rate|All retail/business loans|
|Guernsey|10.00|3.65|7.80|1.57|**6.22** Absolute|All retail loans|
|San Marino|15.95|9.55|14.86|8.52|**6.34** Absolute|All retail/business loans|
|Chile|19.23|12.82|16.26|10.01|**6.25** Relative: Market Rate|All retail/business loans|
|Morocco|13.57|6.50|13.35|6.29|**7.06** Relative: Market Rate|All retail/business loans|
|Germany|14.26|7.13|12.64|5.60|**7.03** Relative: Market Rate|All retail/business loans|
|Burkina Faso|15.00|6.81|18.84|10.38|**8.46** Absolute|All retail/business loans|
|Niger|15.00|6.81|17.94|9.54|**8.40** Absolute|All retail/business loans|
|Mali|15.00|6.81|16.94|8.61|**8.33** Absolute|All retail/business loans|
|Côte D'Ivoire|15.00|6.81|16.29|8.01|**8.28** Absolute|All retail/business loans|
|Benin|15.00|6.81|15.96|7.70|**8.26** Absolute|All retail/business loans|
|Guinea-Bissau|15.00|6.81|14.72|6.55|**8.17** Absolute|All retail/business loans|
|Togo|15.00|6.81|14.23|6.09|**8.14** Absolute|All retail/business loans|
|Senegal|15.00|6.81|13.01|4.96|**8.05** Absolute|All retail/business loans|
|Belgium|10.00|1.70|8.44|0.26|**8.18** Absolute|Retail (consumer, real estate), All business loans|
|Netherlands|14.00|4.99|11.07|2.29|**8.78** Relative: Adm. rate|All retail/business loans|
|South Africa|20.64|10.14|15.86|5.77|**10.08** Relative: Market Rate|All retail loans|
|Armenia|24.00|13.12|22.24|11.51|**10.73** Relative: Policy Rate|All retail/business loans|
|Israel|15.25|3.48|14.29|2.62|**11.67** Relative: Policy Rate|All retail/business loans|
|Finland|20.00|6.33|18.78|5.25|**13.53** Absolute|Retail (consumer, credit card)|
|Kyrgyz Rep.|34.99|18.94|33.47|17.61|**15.87** Relative: Market Rate|All retail/business loans|
|El Salvador|24.28|8.03|24.19|7.95|**16.24** Relative: Market Rate|All retail/business loans|
|Colombia|28.98|10.38|24.59|6.62|**17.97** Relative: Market Rate|All retail/business loans|
|Paraguay|37.81|18.08|34.11|14.91|**19.20** Relative: Market Rate|All retail/business loans|
|Korea|24.00|3.40|23.53|3.01|**20.52** Absolute|All retail/business loans|
|United States|31.00|10.32|28.67|8.35|**20.31** Absolute|Retail (consumer,small business, micro)|
|Thailand|28.00|4.08|27.10|3.35|**23.75** Absolute|<br>Retail (consumer,credit card, micro)|
|Uzbekistan|50.00|23.61|30.93|7.89|**23.03** Absolute|<br>Retail (small business, micro)|
|Sweden|40.00|6.00|37.55|4.14|**33.40** Relative: Policy Rate|<br>Retail (consumer, micro)|
|Uruguay|50.00|11.56|39.04|3.41|<br>**35.63** Relative: Market Rate|<br>All retail/business loans|
|Georgia|50.00|10.82|43.06|5.69|**37.37** Absolute|All retail/business loans|
|Bulgaria|50.00|9.93|45.48|6.62|**38.86** Relative: Adm. rate|All retail loans|
|Lithuania|75.00|2.20|71.01|-0.13|**71.14** Absolute|Retail (consumer, credit card, real estate)|
|Latvia|107.36|17.28|101.69|14.07|**87.61** Absolute|All retail loans|

* Brasil, which has a lending cap for commercial banks, was excluded due to the limited applicability of IRC to loans under Sistema Financeiro da Habitação (SFH).

Actual deposit rates paid by commercial banks unsurprisingly show a general convergence towards floors. Table 6 presents the real gaps between the actual interest rates paid by commercial banks and the legal limits, used as a proxy for determining the degree of bindingness of floors on deposit rates. It shows that in 2019 in all but one country the real gap 14