Due to the worsening of financial conditions, emerging countries’ presence in the international financial market has almost halved, as has the borrowing in hard currency during 2022 relative to the previous year. 2  Concurrently, financial conditions in the local currency have tightened.
One of our text boxes in the Inflation Report covers this issue and shows that financing conditions have been tightened not only for Serbia, as some analysts and politicians often want to interpret, but for all countries, especially emerging ones, including Central European countries – Hungary, the Czech Republic, Poland, Romania and others.