BELGRADE Aug 26 The Serbian central bank
intervened on the currency market on Tuesday, selling euros to
support the dinar after it fell to its lowest level versus the
European single currency this year amid strong demand for the
euro, dealers said.
The bank began intervening as the dinar fell to 118 to the
euro, a 0.24 percent fall on Monday's close of 117.72. The dinar
stabilised at around 117.5.
"Poor key indicators, increased subsidised lending in
dinars, more demand for the euro, weak offer of the common
currency - it all pushed the dinar's rate," a dealer said.
The central bank has sold about 900 million euros so far
this year on the currency market to stabilise the dinar's
exchange rate. It last intervened on August 21 with 10 million
($1 = 0.7425 Euros)
(Reporting by Aleksandar Vasovic; Editing by Matt Robinson)