Serbian Banks Safe amid Global Financial Turmoil – C-Bank

“In connection with media articles on a "collapse” of our banking sector, Serbia’s central bank assures the public that this is an irresponsible piece of disinformation and that thanks to the reliable supervision of the central bank, the depositors’ savings are protected,” NBS said in a statement. “Their deposits in the banks are completely secured and there is not a single reason for their rushed withdrawal and particularly not for early withdrawals before maturity.”

NBS said the funds the commercial banks hold with the central bank are liquid and exceed the total amount of the retail deposits. “While household deposits have a 28% share in the banking sector's total liabilities, the funds the banks hold with the central bank account for 34% of the total.”

The government’s Deposit Insurance Agency insures all household deposits of up to 3,000 euro, which is 80% of total depositors.

NBS’ key repo rate is 15.75%.

At the end of June, the Serbian commercial banks had total assets of 1,769 billion dinars ($30 billion/22 billion euro), up from 1,487 billion a year earlier.

(1 euro = 81.0184 dinars)