Serbia cuts rates to record low due to falling inflation

The National Bank of Serbia reduced rates to a new record low due to weak inflation, global trade uncertainty and looser policies in major economies, the central bank said on August 8.

The executive board implemented a 25 basis points reduction in the key policy rate, which now stands at 2.5%. This is the lowest level since Serbia adopted an inflation targeting regime in 2009.

The decision follows the rate cut the central bank implemented less than a month ago, and is primarily due to lower