Serbia’s central bank (NBS) maintained interest rates at 6.5%, in line with expectations. Inflation continues to slow (seen at 7.6% YoY in December) as underlying inflationary expectations also continue to ease. Inflation is expected to slow toward the 3% target by the end of 2024, driven by tight monetary policy and weakening global inflationary pressures. There was no clear guidance on future policy moves, with the bank stating that future policy decisions will be based on the projected inflation profile.