Serbia’s foreign-exchange reserves reached a record €30.502 billion at the end of July, strengthening the central bank’s external liquidity position as foreign debt, capital flows and regional financial conditions remain important factors for the economy.
Gross reserves held by the National Bank of Serbia (NBS) increased from €29.609 billion in June and €29.008 billion at the end of 2025. The monthly increase in July was close to €900 million. When foreign-exchange reserves held by commercial banks are included, Serbia’s overall reserve position reached approximately €33.34 billion. The composition of the central bank’s reserves also highlights a growing role for gold alongside traditional reserve assets.
Securities and gold account for a large share of reserves
NBS holdings of securities stood at approximately €16.68 billion, while cash and deposits abroad accounted for around €7.49 billion.
Gold holdings were valued at approximately €6.16 billion, increasing the metal’s importance within Serbia’s overall reserve portfolio. The accumulation of reserves provides an important liquidity buffer for an economy in which financial activity remains strongly connected to foreign currencies. The currency structure of both corporate borrowing and household savings leaves the foreign-exchange market particularly important to overall financial stability.
Most corporate loans are denominated in or indexed to foreign currencies, while household savings are also overwhelmingly held in foreign currencies. Serbia’s external debt exceeds €50 billion, further increasing the importance of available foreign-currency liquidity.
Reserves strengthen external liquidity
A large reserve position gives the NBS greater capacity to address exchange-rate volatility, cover external liquidity requirements and maintain confidence among depositors and creditors. It also reduces the vulnerability associated with a potential mismatch between domestic financial obligations and the availability of foreign currency. This is particularly relevant in Serbia because a substantial portion of private-sector assets and liabilities is linked to foreign currencies.
The size of the reserve stock does not represent Serbia’s net external wealth. The country’s external liabilities are also increasing, while its international investment position remains deeply negative. Reserve accumulation therefore strengthens liquidity without removing the economy’s underlying reliance on foreign capital.
External liabilities remain a longer-term consideration
For investors, the distinction between reserve liquidity and net external wealth remains significant. With the NBS holding more than €30 billion in foreign-exchange reserves, the immediate risk of a conventional balance-of-payments liquidity squeeze is comparatively limited. The broader challenge concerns the relationship between external financing and the economy’s capacity to generate export earnings and productivity gains. Serbia’s ability to convert external borrowing and capital inflows into stronger exports and productivity growth will determine how the country manages its growing external liabilities over the longer term.
