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    „Decision is made“: Loans will DROP IN PRICE

    The National Bank of Serbia’s Executive Board has decided to reduce the key policy rate from 2.50 to 2.25 percent, which is the lowest level in the inflation targeting regime, NBS said. As it is pointed out, the central bank thus further supports credit and economic growth. „By making such a decision, the Executive Board, first of all, had in mind that inflationary pressures got weaker. The same as in other countries in the region, due to the decrease in the contribution of food prices, primarily vegetables, at the start of the new agricultural season, as well as the lower global oil prices, the year-on-year inflation in Serbia became slower in the past few months, reaching 1.1 percent in September,“ the statement says. The NBS Executive Board believes that the resilience of the domestic economy to possible negative impacts from the international environment has been increased owing to reduced internal and external imbalances, favorable macroeconomic prospects for the next period, as well as a record-high level of foreign exchange reserves. In addition to favorable domestic macroeconomic conditions for implementing monetary policy, the Executive Board’s decision to further reduce its key policy rate was also influenced by developments in the international environment, notably the slowdown in global trade and economic growth and the amelioration of the monetary policies of leading central banks.

    Izvor: Beta

    Foto: BIZLife

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