As a matter of fact, a growing number of economies have moved away from pegged exchange rate regimes toward relatively more flexible exchange rate regimes. So far, it seems that the benign international market environment for emerging economies in recent years has made such a transition more or less smooth.
If banks pledge a part of their assets as collateral, the NBS could extend around RSD 70 billion in short-term loans to banks at an interest of at least 15.5% (key policy rate plus 1.5%) at a time when the rate of RPI inflation is around 10% April-to-April. 2. The NBS could provide up to EUR 1 billion in swap transactions. 3.