"Inflation higher than desirable"

National Bank of Serbia (NBS) Governor Radovan Jelasic has warned that inflation in Serbia has already surpassed the "desirable" mark. This, he said on Sunday in Belgrade, has a negative effect on the reference interest rate. "Inflation higher than desirable" "The state undertook it to see that the rise of controlled prices this year does not go over 15 percent, yet we have already almost reached that level," said Jelasic. The governor said that the central bank, "unlike the state", is sticking to the original plan of targeted inflation. But, Jelasic complained, the NBS is forced to conduct a restrictive monetary policy because all measures envisaged in the state budget are not being implemented.

"Inflation higher than desirable"

"The state undertook it to see that the rise of controlled prices this year does not go over 15 percent, yet we have already almost reached that level," said Jelašić.

The governor said that the central bank, "unlike the state", is sticking to the original plan of targeted inflation.

But, Jelašić complained, the NBS is forced to conduct a restrictive monetary policy because all measures envisaged in the state budget are not being implemented.