PITIĆ: New measures of NBS stimulate growth of interest rates in business banks

The Head of the Administrative Board of Societe Generale bank in Serbia, Goran Pitić, estimated that the new monetary policy of the National Bank of Serbia (NBS) could lead to the increase in interest rates of the business banks.

On the occasion of the announcement of NBS that, instead of foreign currency exchange rate and mandatory reserve, the interest rate willb be used as the instrument of control of basic inflation, Pitić said that the banks were forced to adapt to the strict monetary policy.

(Adaptation: Goran Pitić)

- The increase in interest rates of the business banks will depend on whether NBS will continue present policy of mandatory reserves along with the determination of the referential interest rate – Pitić pointed out.