The Serbian external debt in the second quarter reduced to 650.9 million euro and, at the end of June, stood 26.1 billion euro, announced the National Bank of Serbia today.
Primarily, reducing of external debt is result of state deleveraging based on premature repayment of half debt to the London Club of creditors, further deleveraging of banks, and in certain extent deleveraging of the company.
Early repayment of government debt is the main reason why the public debt of Serbia in the second quarter, in contrast to previous reports, reduced for 485 million euro to 18.9 billion euro. In addition, the bonds maturing obligations on the basis of old foreign currency savings of citizens also contributed to the reduction of public debt. In the direction of decreasing public and external debt influenced strengthening of euro relative to other currencies represented in structure of debt.
[widgets_on_pages id=”Baner”]
Because of reduction of external and public debt in second quarter, as well as increase of estimated GDP in the last four quarter, are reduced participation of external and public debt to GDP.
Participation of external debt was reduced by 4.6 percentage points, to 83.1 percent, and share of public debt by 1.9 percentage points to 60.6 percent.
Also, other indicators of sustainability are improved, which indicates that country is moving away from the risk margin of solvency and liquidity.
