NBS: Key policy rate kept on hold

At its meeting today, the National Bank of Serbia's (NBS) Executive Board kept the key policy rate on hold, at 1.25%.

According to the press release, the decision was made in light of the expected effects of monetary policy measures undertaken to mitigate the impact of the COVID-19 pandemic.

– In an environment of high banking sector liquidity, the past key policy rate cuts – to the lowest levels in the inflation targeting regime, will continue to influence trends in the financial and real sectors and contribute to preserving the favorable terms of financing of businesses and households and to the increase in their disposable income – the NBS says.

Narodna banka Srbije Beograd

National Bank of Serbia

NBS

key policy rate

inflation

eurozone

bank liquidity

pandemic