Big rate hike in Serbia

The National Bank of Serbia has raised its key policy rate to 15.25% from 14.5%. Radovan Jelasic, the governor of the central bank, said the move came in response to rising inflation, caused by growing salaries, record oil prices and political crisis.

Despite spiralling inflation, Jelasic maintained that inflation will remain within the projected range of 3-6% this year.

In response to the monetary policy medicine, the dinar, the Serbian currency, continued its recent appreciating trend to gai

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