The percentage of uncollectible loans in Serbia is so high that it has literally blocked all credit activity, NBS Governor Jorgovanka Tabakovic said Wednesday.
The first step in dealing with this is to adopt a strategy, for which the deadline is July, and then the first results could be expected in early 2016, she said at a conference entitled” Economic Management in Europe and the Accession Process: What is the Role of Central Banks.”
“What I can promise is that we are not going to use fast solutions that supposedly yield results quickly,” she noted.
The NBS and the ministries of finance, economy and justice have formed a working group to address the bad debt issue, she pointed out.
According to NBS dara, 22.5 percent of loans in Serbia are uncollectible.
Source; B92
