Vice Governor of the National Bank of Serbia (NBS) Bojan Markovic stated on Wednesday that the factors that influenced the weakening of the dinar against the euro in the previous months are heightened land risk premium, low inflow of capital from foreign direct investments and debt liquidation of banks and companies towards the countries abroad.

Following the presentation of November Inflation Report, Markovic told a press conference that in the third trimester of 2010, the dinar weakened against the euro by 3.6 percent on average, and in October by 0.8 percent.

He pointed out that the high level of NBS foreign exchange reserves amounting to, approximately, EUR 9.5 billion will secure stability of the foreign exchange market, and added that the Serbian Central Bank sold EUR 585.2 million in the third trimester and EUR 173 million in October 2010 in order to prevent excessive daily exchange fluctuation and to increase the turnover.

Markovic also mentioned that, according to the preliminary data, during the Savings Week (November 1-12), the amount of money on the citizens savings accounts increased by EUR 298.3 million, surpassing the total sum of EUR 7 billion, the highest savings level ever.