When it comes to the approval of loans, Serbia’s commercial banks treat citizens much worse than companies. Namely, interest rates on citizens loans are twice, sometimes even three times, higher.

Average interest rate on citizens loans in Serbian Dinar on yearly level was at roughly 36 percent at the end of 2009, whereas the interest rate on the same loans for companies went from 10-18 percent. During last year, interest rates on loans for companies went down, while at the same time interest rates on citizens loans went up.

Serbian analysts say that such a large gap in interest rates cannot be justified only by higher costs in the placement of citizens loans.