The Serbian central bank has formed a set of rules to control and reduce risk management of foreign lenders, Reuters reports. The step was taken after the country’s apex bank increased bank reserve requirements for short-term foreign currency deposits.
The bank increased bank reserve requirements for short-term foreign currency deposits and removed them on long-term dinar holdings. The new rules detail the classification of balance sheet assets and off-balance sheet assets and aims to identify the risk management and calculation of reservations for bank losses.
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