Serbia's "Student List" Urges Banks to Monitor Capital Leaving the Country
Serbia's "Student List", the winner of the recent early parliamentary election, has called on banks to tighten control over capital flows during the transition to a new government. The appeal followed the central bank's revocation of Alta Bank AD's licence.
The "Student List", the political force that won Serbia's early parliamentary election in October, has urged the country's banks to step up oversight of money leaving the country while a new government is being formed. The call was made in a statement cited by Bloomberg and the outlet European Pravda.
The list said the transition period requires enhanced supervision and control of cross-border financial transactions and potential capital outflows. At the same time, the winners stressed that the appeal is not intended to restrict legitimate business activity. Its aim, they said, is to preserve financial integrity, accountability and transparency during the transition.
Background
The appeal came shortly after Serbia's central bank revoked the licence of Alta Bank AD. The reason was suspicious outflows of funds from the bank in the days following the 25 October vote.
In the early election, the "Student List" received almost 53% of the vote. On the evening of 25 October, former Serbian president Aleksandar Vucic, who led the "United Serbia" electoral list, conceded defeat.
The new government has not yet been formed, and it is this period that the list identifies as requiring closer monitoring of financial flows.
