Domestic currency makes recovery
After a slide that lasted several days, the domestic currency (RSD) has regained 0.25 percent of its value against the euro.
Wednesday, 04.08.2010.
13:25
After a slide that lasted several days, the domestic currency (RSD) has regained 0.25 percent of its value against the euro. The official exchange rate on Wednesday is RSD 106.38 per one euro. Domestic currency makes recovery Since the beginning of the year, the Serbian dinar has lost ten percent in value. One euro was worth in between RSD 95-96 in January. Economic analyst Nikola Fabris said that the decrease in the value of the dinar was excessive and that it was caused by psychological factors, such as the fear that the hyperinflation of the 1990s could repeat itself. “Therefore, people started selling large amounts of dinars. I think that the National Bank of Serbia will have to find the right balance in the coming period between how much of a decrease in the value of the dinar is needed, and what would be excessive and endanger the inflation goals and macroeconomic stability,” Fabris said.
Domestic currency makes recovery
Since the beginning of the year, the Serbian dinar has lost ten percent in value. One euro was worth in between RSD 95-96 in January.Economic analyst Nikola Fabris said that the decrease in the value of the dinar was excessive and that it was caused by psychological factors, such as the fear that the hyperinflation of the 1990s could repeat itself.
“Therefore, people started selling large amounts of dinars. I think that the National Bank of Serbia will have to find the right balance in the coming period between how much of a decrease in the value of the dinar is needed, and what would be excessive and endanger the inflation goals and macroeconomic stability,” Fabris said.
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