Tabakovic: Serbian February inflation estimated at cca 5.5 pct

BELGRADE - National Bank of Serbia (NBS) Governor Jorgovanka Tabakovic said on Wednesday a strong trend of declining inflation was continuing this year and that y-o-y Serbian inflation in January had dropped to 6.4 pct.

"Our estimate is that February inflation declined further to around 5.5 pct y-o-y," Tabakovic said at the Instant Payments, Global Inspiration expert conference hosted by the NBS.

"We continue to keep a close eye on domestic and international factors, ready to take additional measures if necessary," she said.

"For more than a decade, the National Bank of Serbia has maintained the stability of the exchange rate through well-timed and unbiased interventions in the FX market in either direction, which contributed not only to lower core inflation, but also to preserving confidence in the business and investment environment.

A stable exchange rate is the key ingredient to monetary and financial stability in Serbia and plays an important role in creating a favourable environment for citizens and businesses.

The National Bank of Serbia remains committed to maintaining high FX reserves as the foundations of the country’s resilience to external shocks and to safeguarding the stability of the dinar as the pillar of macroeconomic stability," Tabakovic said.