The European Union and European Central Bank announced the completion of a cooperative agreement with the National Bank of Serbia on Thursday that will allow the Serbian central bank to join the eurosystem.
Financed by the EU at $3.4 million, the capacity-building program ran for nearly three years. The program featured 13 areas of expertise and involved 21 EU central banks. The partnership led to the development of internal guidelines and economic models harmonizing Serbia’s central bank operations with eurosystem standards.
All objectives were reached, including strengthening the bank’s institutional capacity and preparing it to join the European System of Central Banks.
“The EU is glad to be a partner of the National Bank of Serbia and to support their efforts in adopted standards of EU central banks as well as EU legislation,” Ambassador Michael Davenport, the head of the EU delegation to Serbia, said. “As Serbia advances towards EU membership, the Central Bank will act as a key player in Serbia’s EU accession process. As such, it will have to be a credible, accountable and efficient partner of the European central banks ensuring macroeconomic stability for the benefit of its citizens.”
Over the course of three years, 170 experts from various world central banks provided knowledge and support for more than 180 missions and study visits.
“It is my great pleasure to say that project objectives have been successfully met,” NBS Governor Jorgovanka Tabakovic said. “The application of deliverables will enable the NBS to be more efficient in achieving its primary objective—price stability, and in tackling the challenges posed by the financial crisis. Project deliverables are also particularly important for the oncoming negotiations of the Republic of Serbia with the EU, in which our institution will play a highly active role.”