fixed terms. the government has been raising the local currency share in government debt, trying to extend the yield up to 2y. several initiatives under the vienna plus are taking place focusing on the secondary market for government bonds. also some ifis expressed an interest in issuing dinar bonds locally. however, more still needs to be done before we can see tangible results. the secondary government bond market remains illiquid and the treasury has been struggling lately with its t - bill program. the third pillar of our dinarization strategy aims to promote hedging of the existing foreign currency risks in the nonbank sector and to discourage further buildup of these risks. the nbs has been taking a leading role in this field. it has worked with the banking sector on introducing basic hedging instruments both in the inter - bank market and in client transactions. it has also introduced regular fx swap auctions to ease the liquidity management of banks. an analysis undertaken by experts from the ebrd and imf has identified the macroeconomic environment – low volatility of exchange rate relative to volatility of inflation – combined with hysteresis and bad memory as the main source of high euroization in serbia. ( see the forthcoming ebrd working paper by chailloux, ohnsorge, and vavra. ) in the coming months even more attention will be paid to consumer protection. our goal is to increase the risk awareness of banks ’ clients and to improve basic financial literacy. the nbs has launched a public educational campaign through a series of fx hedging conferences and a page at our website. 6 we encourage the banks to take an active role by marketing dinar based and hedging instruments, and building fx risk awareness with their clients. finally, further regulation remains an option, but the one we would not like to use as a main means. the regulatory measures should be used to restrict the most vulnerable segments from fx risk exposure, and to ensure that a banking model based on a blunt pass - on of exchange rate risk to clients is not viable. the nbs has been making regulatory changes gradually always careful that potential side effects do not jeopardize the still fragile economic recovery. we reduced dinar reserve requirement to 5 % from 10 %, with 2. 5 % remuneration. we have also amended the prudential debt service - to - income ratios to differentiate by currency matching with borrower income. also, the compulsory deposit for loans taken

do their part. by excluding them, we deprive not only women, but also society of better results and progress. women are as talented as men. and among them there are differences as much as there are among men. this means that it ’ s always possible for a group of men to find a woman who shares their views – who also thinks that women are inferior and should be excluded. my guiding principle in life is the results i achieve. 1 / 3 bis central bankers'speeches there are powerful women who stand behind their name, expertise and work ; those whose modesty is keeping them in the shadow of the men they work for ; but there are also those who claim power from powerful men. the power of each of these categories shows how society treats women, but also how women need to be more supportive of women. just as i believe that it is wrong not to promote someone only because that person is a woman, i also believe it is equally wrong to give someone a chance only because that person is a woman. i select my associates based on their professional merits and human qualities, not their gender. in my opinion it is crucial that any position should be held by a professional – with adequate knowledge, experience, character and honesty. i can personally confirm that the national bank of serbia, which i ’ m heading for more than seven years now, does not seek to meet quotas in order to advance women in leading positions. the persons who are currently at the head of our organisational parts are all experts with a good deal of experience. all of them have a sense of responsibility and teamwork. i know that such a balanced and modern approach has yielded a significant contribution to the success which the national bank of serbia, as an institution, is recording today in terms of fulfilling its mandate. with dedicated work we have achieved not only low and stable inflation, but have also anchored inflation expectations of the financial, corporate and household sectors within the target tolerance band for quite some time now. this is a proof of the confidence we have built up since i came to the helm of the national bank of serbia. it is owing to this stability and the continued improvement in the business environment that serbia is one of the few countries in the region that have kept their gdp growth projections and posted record - high fdi inflows. interest rates on loans have been lowered, lending activity and banking system stability have increased, the level of non - performing loans is down to the lowest level on record,