The National Bank of the Republic of Macedonia Council reviewed several issues within its operating area on its session held today.
Press release of the NBRM
The National Bank of the Republic of Macedonia Council reviewed several issues within its operating area on its session held today.
The Council adopted a Decision on amendment to the Decision on the Single Tariff for Charging Fees for Services Provided by the National Bank of the Republic of Macedonia, according to which the number of compulsory units that each institution responsible for conducting payment operations in the NBRM's settlement system - MIPS - has to accomplish, decreased by three times. By reducing the number of the compulsory units, the bank's expenditures for every opened account during the payment operations also decrease, that should contribute to increased and improved cashless payment operation.
The Council reviewed the Final Report of the State Audit Office on the completed audit on the financial statements of the National Bank of the Republic of Macedonia for 2004. The Report of the State Audit Office states that the financial statements that are subject to the auditing are in compliance with the International Accounting Standards, representing truthfully and objectively all significant aspects of the financial standing of the National Bank of the Republic of Macedonia for 2004 and the result of the financial activities in 2004. According to the State Audit Office, legal and intended use of funds for specific purposes was registered, which represent expenditures in 2004.
The Council reviewed the latest macroeconomic movements and it stated that in 2005 the price stability in the economy as a basic objective of the monetary policy of the NBRM, was maintained with the average rate of inflation in 2005 being equal to 0.5%. The industrial output in 2005 went up by 7%, while the foreign trade registered a decrease in the trade deficit of Euro 50.6 million, or 5%. The favorable movements in the external sector resulted in significant net purchase of foreign assets by the NBRM on the foreign exchange market, which caused an increase in the gross foreign reserves of Euro 256 million compared to the end of 2004 (not including the foreign exchange inflow originating from the Euro bonds of Euro 150 million, which were used for payment of the debt to the London Club at the beginning of 2006).
The rate of increase in the total deposits in 2005 compared to 2004 equaled 18.3%, reflecting the further strengthening of the propensity to save and higher confidence in the banking system. Simultaneously, the total bank placements with the private sector in 2005 compared to 2004 incremented by 20.5%. In terms of high liquidity, after the transfer to the interest rate tender and market setting of the interest rates on the CB bills auctions in October, a gradual decrease was recorded, with their current level being equal to about 7%. At the end of 2005, the quantified targets set in the IMF arrangement were fulfilled, with a significant excess of Euro 158 million being registered in the net international reserves target.
On the session held today, the Council adopted the Audit Operating Program of the Internal Audit for 2006.