During nine years, the National Bank of Serbia (NBS), led by Governor Jorgovanka Tabakovcć, has fully fulfilled its legal goals – price stability has been achieved and preserved, and financial stability has been strengthened, the central bank announced today.
This, as it was pointed out, enabled the citizens and the economy to operate and plan more easily, as well as to further develop the economy on a sound basis.
It is stated that inflation has been at an average level of about two percent for eight years, that the dinar has strengthened by 0.9 percent against the euro in the past nine years, and at the same time the NBS bought 3.2 billion euros in the foreign exchange market, of which in 2021, 745 million euros.
Gross foreign exchange reserves reached a record level and amounted to 14.7 billion euros, which increased by 4.6 billion euros since August 2012, while net foreign exchange reserves more than doubled in the same period.
Foreign exchange reserves in gold of 36.7 tons make up 12.4 percent of the total foreign exchange reserves at the end of July, while at the end of 2012 they made up only 5.7 percent of the country’s total foreign exchange reserves, the NBS stated.
From the end of 2012 until today, foreign exchange reserves in gold have increased by over 21 tons, which has more than doubled, while their value has tripled – from 0.6 to 1.813 billion euros.
Dinar savings exceeded 850 million euros and, from a record 850 million euros at the end of July 2021, is about six times higher than in 2012, according to a statement from the NBS.
It is added that from the current 20 percent (one fifth of the assets of the banking sector), the share of problem loans in the total loans of the banking sector by June 2021, despite the pandemic, was reduced to 3.6 percent.
Interest rates on new dinar loans to the economy are lower by about 14 percentage points, and to households by over 12 percentage points than at the beginning of the easing of monetary policy in May 2013, and after putting inflation under control, the central bank pointed out.
“Our goals are defined by law – price and financial stability, with the support of economic policy. The stability we have been providing for nine years in a row brings benefits to all – citizens and the economy, exporters and importers, investors and consumers, and as such, stability is a key prerequisite for easier planning, high and sustainable growth and a secure future,” said NBS Governor Jorgovanka Tabakovic, Danas reports.
