This is most evident in the case of prolonged and high appreciation of the dinar which is transferred to retail prices with a significant delay. World practice points to the rigidity of prices, but it seems that they are practically “cemented” in Serbia today. I sincerely hope that something shall be done in that respect, and done exclusively for economic reasons.
All in all, from the macroeconomic point of view, both internal and external challenges require that banks, unless they have already done so, reassess which way and how to proceed. In his biography, Alan Greenspan says that market produces constant stress as in order for someone to gain, someone else has to lose.