Record low value of Serbian currency

The Serbian dinar (RSD) is continuing to lose value against the euro (EUR). The domestic currency lost 0.26 percent of its value with the middle exchange rate this Tuesday at RSD 106.99 for one euro. Record low value of Serbian currency What this means is that since the start of the year, Serbians who earn the average wage of some RSD 35,000 receive EUR 37 less each month. Central bank (NBS) Governor Dejan Soskic told B92 that the trend is impossible to predict, and that the weakening of the currency was caused by several factors. He said that the structure of Serbia's economy after ten years of transitional changes is not such to generate sufficient hard currency inflow with exports. Soskic also noted that the country's continuous trade imbalance was "not small". "When it comes to our country's current account foreign deficit, it is somewhat above nine percent of the GDP, and that is the basic reason for continued pressure in the hard currency market, when there is insufficient FDI, and even lower remittances, and when unfortunately we are not in a place where we can live off services, that is, export them," the governor explained.

Record low value of Serbian currency

What this means is that since the start of the year, Serbians who earn the average wage of some RSD 35,000 receive EUR 37 less each month.

Central bank (NBS) Governor Dejan Šoškić told B92 that the trend is impossible to predict, and that the weakening of the currency was caused by several factors.

He said that the structure of Serbia's economy after ten years of transitional changes is not such to generate sufficient hard currency inflow with exports. Šoškić also noted that the country's continuous trade imbalance was "not small".

"When it comes to our country's current account foreign deficit, it is somewhat above nine percent of the GDP, and that is the basic reason for continued pressure in the hard currency market, when there is insufficient FDI, and even lower remittances, and when unfortunately we are not in a place where we can live off services, that is, export them," the governor explained.