Serb Central Bank to Allow Investments in A-Rated EU/OECD Debt

Serbia’s central bank said it wants to limit investments by resident companies, entrepreneurs and small investors to debt issued by developed nations that have at least an A sovereign credit rating.

Residents may invest in securities issued by members of the European Union and the Organization for Economic Cooperation and Development, whose debt issues are at rated at least A by Standard & Poor’s and Fitch-IBCA, or A2 by Moody’s, the Belgrade-based National Bank of Serbia said on its website.

The proposed restrictions are part of the central bank’s effort to define the rating of debt issuers under the foreign exchange law. Banks will have no limits on investing in foreign debt, it said.

To contact the reporter on this story: Gordana Filipovic in Belgrade at gfilipovic@bloomberg.net

To contact the editor responsible for this story: James M. Gomez at jagomez@bloomberg.net

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