National Bank of Serbia Vice Governor Bojan Markovic said Wednesday that the inflation will reach its maximum in April or May and then drop over the second half of the year towards a target figure, which will be reached in the first six months of 2012.

The monetary policy, stable inflation projections, low demand and stabilization of food prices will help bring the inflation within the target range, Markovic noted presenting the May inflation report.

According to him, the key risks in getting to the projected inflation are prices of agricultural produce, the fiscal policy and changes to the country's risk premium.

The inflation at the end of 2011 will probably be above the desired maximum of 6 percent, but that will depend greatly on the agricultural yield, Markovic stated.

The April inflation data show the first signs of a drop in the inflation pressure caused by food prices, he underlined.