NBS keeps key policy rate at 5.75 pct

BELGRADE - The National Bank of Serbia (NBS) Executive Board decided on Thursday to keep the key policy rate on hold at 5.75 pct, as well as the rates on deposit and lending facilities - at 4.5 pct and 7.0 pct, respectively, the NBS said.

"In making the decision, the Board highlighted that the key policy rate has stood at 5.75 pct since September 2024, when, in the current monetary policy easing cycle, it was cut by 25 bp for the third time, following cuts in June and July of the same year. The effects of these cuts can be expected to play out in the coming period as well. As stated by the Board, although inflation is moving within the target band, it necessary to continue pursuing a cautious monetary policy, bearing in mind the conditions in the international environment," the central bank said in a statement.