The National Bank of Serbia kept monetary policy settings unchanged, maintaining the reference interest rate at 5.75% and leaving the deposit facility rate at 4.5% and the credit facility rate at 7.0%. The decision was guided by recent inflation developments and the domestic and international factors shaping the inflation outlook. Inflation stabilised in the final months of 2025 at a level slightly below the central value of the Bank’s target (3 ± 1.5%). The Executive Board expects inflation to hover around the target midpoint until March 2026, during the validity of the regulation limiting wholesale and retail trade margins for certain goods, and to remain within the 3 ± 1.5% target range through end-2026 and over the medium term. Expected adoption of systemic laws to prevent unfair trading practices, easing external cost pressures and a potentially better new agricultural season were cited as disinflationary factors, while rising disposable income for consumption and a low base from September 2025 were noted as acting in the opposite direction.
National Bank of Serbia 2026-01-12
National Bank of Serbia keeps reference interest rate at 5.75% and leaves corridor rates unchanged
The National Bank of Serbia kept its monetary policy unchanged, with the reference interest rate at 5.75%, deposit facility rate at 4.5%, and credit facility rate at 7.0%, influenced by inflation trends and domestic and international factors. Inflation stabilized slightly below the target in late 2025, expected to stay within the 3 ± 1.5% target range through 2026, supported by systemic laws and easing external pressures, despite rising disposable income and a low base effect.