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Serbian Central Bank Must Support Dinar, Cvetkovic Tells Novosti

Serbia’s central bank must “intervene” to support the dinar and explain what is happening with the currency after it fell to a record low against the euro, Novosti quoted Prime Minister Mirko Cvetkovic as saying.

Cvetkovic said in an interview with the newspaper that there was no excessive demand in the market to make the dinar “fall several percent a day” and that the best “remedy” for situations like this is “timely and sufficient intervention,” according to Novosti.

The dinar fell to an all-time low of 109.7532 against the euro yesterday, prompting the National Bank of Serbia to sell 68.5 million euros to support the local currency.

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