Owing to this, employment increased, while the unemployment rate decreased to a single-digit level. Since the beginning of the investment cycle, the unemployment rate has been halved (from 19.2% to 9.5%), and formal employment in Serbia’s private sector increased during the new investment cycle by more than 230,000 persons.
To further support the identification of underlying monetary trends, we have developed a whole range of indicators signalling risks to price stability. In the past we have relied mostly on bivariate models, which proved relatively robust, but were hard to interpret.