decreasing, and we have smaller accounting value of the gold price in euros, as a result of which the foreign reserves reduced. however, we should know that in the previous period when the gold price was mounting, our foreign reserves were also increasing, for the same, purely accounting, reason. in the second quarter, we made a slight intervention, which is seasonally common because some large companies pay dividends, and then there is a lack on the foreign exchange market which is covered by the national bank. however, in the third quarter, once again due to seasonal reasons, there are reverse movements, and we have already compensated those interventions we had in the second quarter. at the level of the entire year, the amount of foreign exchange that the national bank has purchased on the foreign exchange market exceeds the amount of the foreign exchange it has sold. it means that the decrease in this moment is quite smaller than the one i have mentioned previously, which is totally due to the changes in the gold price. bis central bankers ’ speeches

according to the national bank data, increase in the savings deposits was registered. if my data are right, the deposits increased by about euro 87 million. what is the reason for such a trend? yes, it is interesting that the deposits here are growing continually, even during the hardest times of the global financial crisis at the beginning of 2009, we had a deposit growth. it is sometimes hard to explain where this inflow comes from, but it indicates that in the economy there are sources that generate income, that create savings potential, meaning, the savings, although maybe not sufficient, is still substantial in our country and that deposit growth is just below the one in the good years, but it is positive and continuous, which is encouraging. does this mean that the banks are more focused on collecting capital, than releasing money in the economy in form of credits? we can state that the deposit growth is higher than the one in the last several years, but the deposit growth is also a reflection of lack of enough alternatives for investments. you know bis central bankers ’ speeches that the stock exchange is in standstill, we don't have some other developed financial markets where the citizens can place their savings, so every savings is mainly placed in form of banks deposit. despite the inflation slows down, in the last several months, according to the nbrm estimations, it seems that the banks restrain over landing. is this an indicator for the unfavorable conditions in the economy, or on the market, or is it a try for further reduction of the inflation? no, the inflation is not an issue, since it is on quite moderate level, 2. 8 percentages is the latest data for august and we expect average inflation of about 2. 8 percentages for the entire year, there is no probability for inflationary pressures in the following period. the banks restraint over crediting is a result of several factors. one is the economic crisis in the euro area, the deceleration of our economy last year, the banks prudency, the rise of the bad placements. another very important factor is the condition in the parent banks of some of the owners of our banks, you know that they mainly come from the euro area, some of them have serious problems in their own countries and they face with serious challenges, although their banks in macedonia have extremely good quality and they are in good condition, since the strategy is developed at the level of the group, the problems in the parent