×

Serbian cbank intervenes to support dinar

BELGRADE, Nov 12 (Reuters) - The Serbian central bank sold euros on Friday to help support the dinar currency a day after it surprised markets by raising its benchmark interest rate by a full percentage point. In a statement, the bank said it sold 20 million euros on a day the dinar traded at around 107 to the euro. The Serbian currency has lost more than 10 percent this year, prompting the central bank to sell about 2.2 billion euros in 2010. With a large trade gap and less inward flow of capital via foreign investment over the past two years, the dinar is likely to continue a slow downward course against the euro, many analysts say. (Reporting by Adam Tanner) Keywords: SERBIA DINAR/ (adam.tanner@thomsonreuters.com; +381 11 304 4903; Reuters Messaging: adam.tanner.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved.

The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.