Currency weakens, prices rise

Despite interventions of the National Bank of Serbia (NBS), the Serbian dinar (RSD) value continues to decrease. One euro is currently worth RSD 106.63. Currency weakens, prices rise On Monday, the NBS sold EUR 40mn on the interbank market in order to lessen the volatility of the exchange rate, and has sold EUR 1.687bn with the same goal in mind since the start of the year. The rate of the dinar at this level already secures enough support for the increase in exports and balancing payment adjustments, NBS Governor Bojan Markovic was quoted as saying on Monday. However, because of the drop of the dinar’s value, Serbians can expect an increase in the price of food by the end of the month, Belgrade daily Blic writes. Dairy products have already increased in price by about five percent. The price of cooking oil is expected to go up 11 percent, juices and alcoholic beverages will be 10 percent more expensive, while there will also be increases in the prices of flour, pasta, sweets and pork by the end of the month, the newspaper writes. Trade Minister Slobodan Milosavljevic told B92 on Monday that there would be no increase in the price of bread any time soon, adding that the state would not allow electricity or gas prices to go up until wages and pensions have been unfrozen.

Currency weakens, prices rise

On Monday, the NBS sold EUR 40mn on the interbank market in order to lessen the volatility of the exchange rate, and has sold EUR 1.687bn with the same goal in mind since the start of the year.

The rate of the dinar at this level already secures enough support for the increase in exports and balancing payment adjustments, NBS Governor Bojan Marković was quoted as saying on Monday.

However, because of the drop of the dinar’s value, Serbians can expect an increase in the price of food by the end of the month, Belgrade daily Blic writes.

Dairy products have already increased in price by about five percent.

The price of cooking oil is expected to go up 11 percent, juices and alcoholic beverages will be 10 percent more expensive, while there will also be increases in the prices of flour, pasta, sweets and pork by the end of the month, the newspaper writes.

Trade Minister Slobodan Milosavljević told B92 on Monday that there would be no increase in the price of bread any time soon, adding that the state would not allow electricity or gas prices to go up until wages and pensions have been unfrozen.