Serbian town in the winter

Serbia Monetary Policy March 2019

Serbia: NBS stands pat in March

At its 7 March monetary policy meeting, the Executive Board of the National Bank of Serbia (NBS) voted to keep the key policy rate steady at 3.00%, where it has been since April 2018.

Sustained price stability was the main factor behind the Bank’s latest move to keep the key policy rate unchanged in March. Inflation, which has been low and stable over the past six years, came in at 2.1% in January, which was well within the Bank’s tolerance band of 1.5%–4.5%. Moreover, the NBS continues to see inflation fluctuating within the lower half of the band in the year ahead.

The Bank noted that slower global growth is expected to moderate the pace of policy normalization from the Federal Reserve and the ECB. Nevertheless, the NBS remained cautious about the potential secondary effect of capital outflows from monetary tightening in major economies. At the same time, the Bank pointed to Serbia’s improved fiscal stance, with the country posting its second fiscal surplus in 2018, and a stable current account deficit despite strong imports for investment projects, as reflective of the economy’s better position to withstand external shocks.

The next monetary policy meeting will be held on 9 April.

Serbia Interest Rate Forecast

Free sample report

Access essential information in the shortest time possible. FocusEconomics provide hundreds of consensus forecast reports from the most reputable economic research authorities in the world.
Close Left Media Arrows Left Media Circles Right Media Arrows Right Media Circles Arrow Quote Wave Address Email Telephone Man in front of screen with line chart Document with bar chart and magnifying glass Application window with bar chart Target with arrow Line Chart Stopwatch Globe with arrows Document with bar chart in front of screen Bar chart with magnifying glass and dollar sign Lightbulb Document with bookmark Laptop with download icon Calendar Icon Nav Menu Arrow Arrow Right Long Icon Arrow Right Icon Chevron Right Icon Chevron Left Icon Briefcase Icon Linkedin In Icon Full Linkedin Icon Filter Facebook Linkedin Twitter Pinterest