Central bank governor not worried about rating downgrade
NBS Governor Jorgovanka Tabaković says she expects "no negative consequences for the economy from <a href="http://www.b92.net/eng/news/business.php?yyyy=2014&mm=01&dd=20&nav_id=89033" class="text-link" target= "_blank">the drop in the country's credit rating</a>."
Monday, 20.01.2014.
10:34
BELGRADE NBS Governor Jorgovanka Tabakovic says she expects "no negative consequences for the economy from the drop in the country's credit rating." "It indicates that the good decisions made by the government concerning fiscal consolidation have not yielded results yet," the central bank chief told Tanjug. Central bank governor not worried about rating downgrade "We live in a time when the credit ratings of far stronger economies are dropping, so I am convinced this will not lead to negative trends on our financial market and will not affect those markets that had already decided to invest in Serbia," she noted. Tabakovic believes Serbia will sign a precautionary arrangement with the IMF, which should help cancel out the drop in credit rating and dispel any fears among the investors regarding potential investments in Serbia. An arrangement with the IMF is not needed because of money, since the foreign exchange reserve is at its highest, EUR 11.2 billion, but because it would be an additional recognition of the credibility of Serbia's economic policy, Tabakovic pointed out. The arrangement would mean that Serbia is now implementing the reforms it decided on and that the economy is on a certain path to recovery and sustainable development, she said. "It will have a positive influence on the way Serbia is perceived by foreign investors, who we need now and in the future," Tabakovic underscored. (Tanjug, file) Tanjug
Central bank governor not worried about rating downgrade
"We live in a time when the credit ratings of far stronger economies are dropping, so I am convinced this will not lead to negative trends on our financial market and will not affect those markets that had already decided to invest in Serbia," she noted.Tabaković believes Serbia will sign a precautionary arrangement with the IMF, which should help cancel out the drop in credit rating and dispel any fears among the investors regarding potential investments in Serbia.
An arrangement with the IMF is not needed because of money, since the foreign exchange reserve is at its highest, EUR 11.2 billion, but because it would be an additional recognition of the credibility of Serbia's economic policy, Tabaković pointed out.
The arrangement would mean that Serbia is now implementing the reforms it decided on and that the economy is on a certain path to recovery and sustainable development, she said.
"It will have a positive influence on the way Serbia is perceived by foreign investors, who we need now and in the future," Tabaković underscored.
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