Central bank increases key rate
The NBS Executive Board today decided to increase the Serbian central bank's key interest rate to 8.5 percent.
Thursday, 05.08.2010.
14:19
The NBS Executive Board today decided to increase the Serbian central bank's key interest rate to 8.5 percent. The NBS said the decision came in order to its meet mid-term inflation goals. Central bank increases key rate The board stated that by increasing the level of restrictiveness of the monetary policy, it had in mind some risks related to the poor agricultural season and rising prices in that market in Serbia and abroad. The year-on-year inflation figure in July is expected to have been "around five percent", said the bank it its statement in Belgrade today, noting that this exceeded expectations found in the May Inflation Report. On May 11, the central bank lowered the reference interest rate from 8.5 percent to eight percent. At the beginning of 2010, the rate was 9.5 percent. The prime lending rate is an economic indicator and is often used as a measuring point for adjusting interest rates on other types of loans.
Central bank increases key rate
The board stated that by increasing the level of restrictiveness of the monetary policy, it had in mind some risks related to the poor agricultural season and rising prices in that market in Serbia and abroad.The year-on-year inflation figure in July is expected to have been "around five percent", said the bank it its statement in Belgrade today, noting that this exceeded expectations found in the May Inflation Report.
On May 11, the central bank lowered the reference interest rate from 8.5 percent to eight percent. At the beginning of 2010, the rate was 9.5 percent.
The prime lending rate is an economic indicator and is often used as a measuring point for adjusting interest rates on other types of loans.
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