The National Bank of Serbia (NBS) announced today that the gross foreign exchange reserves at the end of June amounted to 14.09 billion euros, which provides a coverage of the M1 money supply of 132%.
These foreign exchange reserves, as it is stated, can cover the import of goods and services for more than six months, which is twice as much as the standard which determines the adequate level of coverage of imports of goods and services by foreign exchange reserves. At the end of June, banks’ foreign exchange assets on the basis of required reserves and other bases amounted to 11.59 billion euros, the statement said.
At the end of June, gross foreign exchange reserves were 89.8 million euros lower than at the end of the previous month, which is primarily the result of a net outflow based on the payment of government liabilities of 229.7 million euros.
Other transactions that affected the stock of foreign exchange reserves in June had a positive effect, a total of 139.9 million euros net.
Net inflows into foreign exchange reserves were realized on the basis of NBS activities in the domestic foreign exchange market because the total net effect of spot and swap transactions was plus 124 million euros, foreign exchange required reserves of banks due to normal banking activities and foreign exchange reserves management, total 68.6 million euros, donations on other bases, a total of 70.6 million euros, were more than sufficient to cover other net outflows from foreign exchange reserves on other bases, a total of 120.9 million euros, as well as the negative net market effect of 2.4 million euros.
The volume of realized foreign exchange trade on the interbank foreign exchange market in June
In June, as since the beginning of this year, the value of the dinar against the euro is almost unchanged. Since the beginning of the year, the NBS has purchased 320 million euros in order to maintain relative stability in the foreign exchange market, eKapija reports.
