The Serbian Ministry of Finance has updated the rulebook concerning arm’s length interest rates. The Rulebook was published in the Official Gazette of Serbia No. 18/2018 dated 9 March 2018. The Rulebook contains the prescribed interest rates applicable to taxpayers who had or will have related party financing during 2018. The Rulebook is effective as of 17 March 2018 and will be in force until 31 December 2018.

The following table provides an overview of market interest rates as prescribed by the Ministry of Finance.

Banks and financial leasing entities Other legal entities
3,10% short term loans in RSD;4,10% long term loans in RSD;

3,19% loans in EUR and dinar loans denominated in EUR;

2,45% loans in USD and dinar loans denominated in USD;

3,12% loans in CHF and dinar loans denominated in CHF;

3,70% loans in SEK and dinar loans denominated in SEK;

1,15% loans in GBP and dinar loans denominated in GBP;

3,33% loans in RUB and dinar loans denominated in RUB

 5,84% short term loans in RSD;

5,58% long term loans in RSD;

3,10% short term loans in EUR and dinar loans denominated in EUR;

3,42% long term loans in EUR and dinar loans denominated in EUR;

12,97% short term loans in CHF and dinar loans denominated in CHF;

8,21% long term loans in CHF and dinar loans denominated in CHF;

4,41% short term loans in USD and dinar loans denominated in USD;

4,16% long term loans in USD and dinar loans denominated in USD.