According to the results of an Ipsos survey, one-year ahead inflation expectations of the Serbian financial sector went moderately up from August to 7.3% in September, the National Bank of Serbia (NBS) has said.

It said a Bloomberg survey conducted in October had reported somewhat lower inflation expectations of the financial sector that stood at 7.0%.

“Short-term inflation expectations of corporates stood at 10.0%, higher compared to the August Ipsos survey (7.5%). Rising inflation expectations could be associated with higher inflation expectations of energy enterprises, which are most exposed to disturbances and uncertainties in global markets.

Two- and three-year ahead inflation expectations of both the financial and corporate sector are lower than short-term expectations.

Medium-term expectations of the financial sector continued to move within the NBS target tolerance band, at 4.5% for two years ahead, while running lower for three years ahead, at 3.6%. Medium-term inflation expectations of the corporate sector stood at 6.0% for two years ahead and 4.0% for three years ahead.

The results of the survey for two and three years ahead might indicate that both the financial and corporate sector expect inflationary pressures to subside once international commodity markets stabilise,” the NBS also said.

Source: Tanjug, Momentum