NBS lowers benchmark interest rate

The National Bank of Serbia (NBS) has decided to lower the benchmark interest rate by 25 bp to 6.25 percent.

The rates on deposit and lending facilities are now also lower – 5.00 percent and 7.50 percent, respectively, said the NBS.

“The Executive Board’s decision was motivated primarily by several months of declining inflation at home and its return within the target band in May, consistent with the NBS’s projections, as well as by the anticipated movements in inflation and other macroeconomic indicators at home and abroad in the coming period. In view of the further waning of global inflationary pressures and the disinflationary impact of tight monetary measures so far, the Executive Board assessed that conditions are in place to embark on monetary policy easing by lowering the key policy rate,” the NBS said in a press release.

It added that global inflation has continued to subside and approach pre-pandemic levels, mostly reflecting the effects of past monetary policy tightening by central banks, weakening of cost-push pressures and the easing of global supply chain bottlenecks.

“The NBS Executive Board does not expect any major increase in the prices of products and services we import, but continues to keep a close eye on all supply- and demand-side factors which could impact future inflation movements, and this will form the basis of future monetary policy decisions,” the NBS noted in its press release.

(Kamatica, 13.06.2024)









This post is also available in: Italiano

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