The Executive Board of the National Bank of Serbia has adopted regulations that will enable easier repayment of certain loans approved to citizens by March 18th this year, the NBS has announced. An amendment to the Bank’s Capital Adequacy Decision and amendment to the Decision on Merger Risk Management based on bank’s exposure to certain types of products were adopted and these regulations, as announced, represent a carefully measured reaction of the central bank to possible deterioration of financial position of borrowers who received loans prior to the onset of extraordinary circumstances caused by the COVID-19 pandemic. New regulations apply to consumer loans, including those approved for the purchase of motor vehicles, cash or other loans, excluding housing loans and current account overdraft. As the NBS explained, the adopted novelties allow banks additional opportunities to offer certain reliefs to debtors who have borrowed before the onset of extraordinary circumstances, when it comes to the repayment of those loans during this and next year, without this having a negative impact on their business. Banks will be able to offer debtors refinancing or to change the maturity date of the last instalment of consumer, cash and other loans, excluding housing loans and current account overdraft, approved until March 18th, 2020, for an additional two years longer than the currently valid regime of repayment deadline of those loans (which implies a repayment period of up to seven years during this year and up to six years during 2021, up to eight years for consumer loans approved for the purchase of motor vehicles regardless of the year). Banks can also offer these facilities to debtors in the event that, following refinancing, i.e. changing the maturity date of the last instalment under conditions provided by the new regulations, the credit burden on the debtor’s income (credit indebtedness) is higher than 60 percent.