Serbian financial, corporate sectors expect 3.5-5 pct one-year ahead inflation

BELGRADE - The results of a June Ninamedia survey show that one-year ahead inflation expectations of the Serbian financial sector amounted to 3.7 pct, declining from the previous month (3.9 pct) and getting closer to the NBS target midpoint, says the National Bank of Serbia (NBS).

"The financial sector reported somewhat lower inflation expectations (3.5 pct) in the latest, July Bloomberg survey," the central bank said in a statement.

"Having fallen from 6.0 pct in February, one-year ahead expectations of the corporate sector stayed unchanged at 5.0 pct for a fourth month in a row.

Inflation expectations of the financial sector for two and three years ahead are at the NBS target midpoint (3.0 pct), as two-year ahead expectations declined from the May 3.2 pct. Two- and three-year ahead inflation expectations of the corporate sector amounted in June to 5.0 pct and 4.5 pct, respectively.

The survey results show that both financial and corporate sectors expect inflationary pressures to ease further in the period ahead," the NBS also said.