NBS: Reference rate to remain at 8 percent
The Executive Board of the National Bank of Serbia (NBS) decided at its Thursday session to keep the reference rate at eight percent, the central bank released.
Friday, 13.02.2015.
09:29
NBS: Reference rate to remain at 8 percent
Inter-annual inflation is still below the lower limit of allowed deviation from the target rate and this mostly comes as a consequence of factors with a temporary disinflationary effect such as unexpectedly low growth of government-regulated prices, drop of oil prices and low prices of agricultural products, the NBS Executive Board said in the explanation of the decision.The NBS Executive Board also had in mind the pronounced geopolitical tensions and instabilities on the international market of goods and finance.
This could result in an increased aversion by investors toward the risk, a slowdown of capital flows and less certain effect of implemented monetary policy measures in well-developed countries, and particularly the European central bank for the economic recovery of our key economic partners.
The NBS Executive Board noted that the negative effects of the floods are gradually subsiding as shown by the recovery of economic activities, especially in industry and construction.
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