Jovic: Inflation to move within 3±1.5 pct target band over next two years

BELGRADE - Under a new central projection by the National Bank of Serbia (NBS), Serbian inflation will continue to move within the 3±1.5 pct target band over the next two years, NBS Vice Governor Zeljko Jovic said at a presentation of the central bank's February inflation report.

"More specifically, y-o-y inflation should move around the upper bound of the target band in early 2025, though we do not exclude the possibility that in some months it could temporarily overshoot the band by a thin margin," Jovic said.

"Inflation should slow gradually thereafter, approach the target midpoint late in the year and stay around this level until the end of the projection horizon. Such inflation movements will be underpinned by the still tight monetary conditions, subdued imported inflation and the anticipated lower global energy prices according to the relevant international institutions’ projections and market futures," he said.