Key Policy Rate Kept at 6.5%

At its meeting today, the NBS Executive Board voted to keep the key policy rate on hold, at 6.50%. It did not change the deposit (5.25%) and lending facility (7.75%) rates either.

– The Board’s decision was motivated by the continued subsiding of global inflationary pressures, the established downward trajectory of inflation at home and its anticipated retreat within the target tolerance band in mid-2024. The Board also took into account the past increases in the key policy and required reserve rates, whose effects will continue to spill over to inflation – the Central Bank says in a press release.

In making the decision, it is added, the Executive Board also had in mind that global inflation was falling faster than anticipated and approaching pre-pandemic levels, reflecting the subsiding of cost-push pressures, the easing of global supply bottlenecks, and the effects of past monetary tightening by most central banks.

Narodna banka Srbije Beograd

National Bank of Serbia

key policy rate