Serbia guarantees deposits of up to €50,000 following Alta Bank closure
The National Bank of Serbia (NBS) assures citizens and businesses that the country's banking sector is stable, well-capitalised and highly liquid, and that all necessary institutional, financial and regulatory mechanisms are in place to safeguard its stability.
The decision to revoke the operating licence of Alta Bank was taken to protect the interests of its depositors and creditors, CE Report informs via the NBS's official website.
The NBS emphasises that problems affecting the operations of an individual bank should not be equated with the overall condition of the banking sector, which has substantial capital and liquidity reserves and continues to provide regular services to citizens and businesses.
The NBS particularly stresses that all deposits covered by the statutory deposit insurance scheme are protected and will be repaid in full up to the insured amount. Depositors are legally entitled to compensation of up to €50,000 per depositor per bank, with the Republic of Serbia guaranteeing the payment. The Deposit Insurance Agency has the necessary funds, which will be paid to depositors within the legally prescribed timeframe. Depositors will be informed in due course about the bank through which the payments will be made, as well as all the necessary procedures.
The banking sector is in a strong position to support financial stability and ensure the uninterrupted provision of banking and payment services to citizens and businesses. The National Bank of Serbia has all the necessary instruments to provide additional liquidity support to banks, if required, in accordance with its legal powers.
At the same time, the National Bank of Serbia unequivocally reaffirms its determination to maintain the stability of the dinar against the euro, as exchange rate stability has been and remains a cornerstone of Serbia's macroeconomic policy. The central bank has both the resources, including a high level of foreign exchange reserves, and the determination to maintain this stability. As before, the NBS will use the instruments at its disposal, including interventions in the foreign exchange market whenever necessary, to counteract any pressures and preserve the stability of the dinar exchange rate.
The National Bank of Serbia reaffirms its commitment to ensuring the regular functioning of the financial system and the stability of the national currency, in full cooperation with the banking sector and other relevant institutions.
Photo NBS
