The president of the Association of Banks in Bosnia and Herzegovina (BiH), Berislav Kutle, explained to agency Fena that debtors of short-term loans with a variable interest rate should not worry about changing that rate.
According to him, it is not realistic to expect a change in interest rates in BiH in the next few years for several reasons.
”The first reason is the unrealistically higher supply than the demand for loans, which will not change soon. In such an unstable political situation in BiH, it is not realistic to expect higher demand for loans, ” Kutle emphasized.
As the second reason, he mentioned the interest rate on the European market, which even the expected inflation in the short term cannot raise.
“It is clear that anyone who has loans for ten years or more should change the interest rate to a fixed one to be safe,” Kutle stated.
He added that inflation is expected to rise in the upcoming period since everyone in the European Union (EU) is trying to induce it in order to accelerate growth and development, and another reason is the rise in prices of raw materials and energy that started before the pandemic.
“The pandemic has postponed the crisis for almost two years, but it is now ahead of us,” Kutle noted.
E.Dz.
