17 January 2011

SERBIA: At 12%, Now With Europe's Highest Interest Rate.

BLOOMBERG/

    For the 6th time in 6 months, Serbia’s central bank has raised its benchmark interest rate to 12% to fight galloping inflation and wage and pension increases.
   Inflation there hit a 22-month high of 10.3 percent in December.
   Its currency, the dinar, lost nearly 11 percent in 2010 and about 40 percent since the start of the global financial crisis in 2008.