Jorgovanka Tabaković: Overview of recent monetary and macroeconomic trends in Serbia
Introductory speech by Dr Jorgovanka Tabaković, Governor of the National Bank of Serbia, at the presentation of the May Inflation Report, Belgrade, 18 May 2022.
Ladies and gentlemen, esteemed members of the press, dear colleagues
Welcome to the presentation of the May Inflation Report.
The period since our previous, February Report has been marked by developments of immense bearing on the overall world economy. We are faced with escalating geopolitical tensions, conflict in Ukraine, and sanctions that hamper economic flows, which has caused major disruptions in the international commodity and financial markets. Together with the effects of stepped-up counter- pandemic measures in China, this has amplified fears that shortages and halts in global supply chains, which were expected to resolve gradually during the year, may extend or even become more pronounced. Russia and Ukraine are important global producers of cereals, metals and minerals, and Russia of oil and natural gas as well, therefore the conflict caused these product prices to continue up and come close to or even go beyond their historically highest levels. Amid such circumstances, all relevant international financial institutions downgraded the economic growth prospects for this year and significantly increased the inflation projection at the global level.