National Bank of Serbia Governor Dejan Soskic said that a period of stability is coming and that exchange rate and inflation speculators will not do well next year.

In an interview for Belgrade daily Politika, Governor Soskic pointed out it is important to fully implement the Budget System Law and reach agreement regarding the rise of government controlled prices.

When told there is hardly an economist who believes the inflation at the end of 2011 will stay under six percent - the upper limit of the central bank's target inflation range - Soskic responded: "I am an economist, and I believe that."

He called on everyone to think twice before raising prices, and on those who have already done so to seriously reconsider, because market demand is not expected to grow.

According to him, it is more important that the economy is functional than to accumulate goods.

Soskic said he fears political pressures will intensify in the distribution of budget funds, and added that Serbia would benefit from extending the arrangement with the International Monetary Fund.