Exchange Operations

Exchange operations include purchase/sale of foreign cash and foreign currency cheques from/to natural persons.

The performance of exchange operations is regulated by the provisions of Article 39 of the  Law on Foreign Exchange Operations (“RS Official Gazette”, No 62/2006), Decision on Terms and Conditions for Performing Exchange Operations  and Guidelines for Implementing the Decision on Terms and Conditions for Performing Exchange Operations  .

Exchange operations can be performed by banks and licensed exchange dealers.

To enable performance of exchange operations in the prescribed manner, standard software is used. A licensed exchange dealer may use the software of the bank with which it entered into an agreement on performance of exchange operations or it may use the NBS software based on the submitted application and concluded agreement on installation, use and maintenance of software for performance of exchange operations. The licensed exchange dealer shall submit to the NBS a completed application for conclusion of the agreement (one copy) along with completed and signed agreement (four identical copies). The NBS software is installed in the NBS head office / relevant branch after the issuance of license and provision of evidence on payment of the prescribed fee. At the same time, the agreement and a smart card for each exchange office is delivered to the licensed exchange dealer.

A business entity interested in performing exchange operations must pay special attention to the selection of staff to directly perform exchange operations, as regulations prescribe that employees directly performing exchange operations must hold evidence of at least secondary school education, while employees and the owner/founder (general manager) must also provide evidence that they have not been sentenced for criminal offences. Employees that will directly perform exchange operations must also hold a certificate issued by the National Bank of Serbia on completed training for the performance of such operations. The training is organised by the National Bank of Serbia for all persons who submit the application for training (Schedule 7) and evidence of payment of the fee for such training, in accordance with the decision on uniform fees charged for services provided by the National Bank of Serbia (Schedule 5).

A licensed exchange dealer may enter into agreement on the performance of exchange operations with:

• a bank, 
• several banks.

The National Bank of Serbia issues the license to perform exchange operations.

A business entity will submit a license application and other prescribed documentation to the National Bank of Serbia, enclosing therewith evidence of payment of the fee in accordance with the decision on uniform fees charged for services provided by the National Bank of Serbia.

A licensed exchange dealer will have to meet the prescribed technical conditions for performing exchange operations.

A licensed exchange dealer has the obligation to visibly display the sign “EXCHANGE OFFICE” in Serbian and another world language in front of the exchange office location, as well as to display the name of the exchange office, and name and surname of the owner/founder. Also, the exchange office has the obligation to visibly display its own exchange rate list which it will determine freely, once a day, and information on the level of commission that cannot exceed 3% for purchase. The exchange office must also, by means of an advertising board – electronic or other – inform citizens of the smallest amount of dinars paid on purchase and highest amount charged on sale of foreign cash for all currencies contained in its exchange rate list (per unit of foreign currency), with exchange rates adjusted for the amount of the commission.

The licensed exchange dealer is also required to display, in a place and manner clearly visible for clients, the following text: "IMPORTANT INFORMATION: Before effecting an exchange transaction, a licensed exchange dealer is under the obligation to inform the natural person of the total amount of dinars to be obtained by such person per one unit of foreign currency such person wants to sell and of the total amount of dinars to be paid by such person per one unit of foreign currency such person wants to buy. These amounts must be equal to or more favourable for the natural person than the amounts displayed on the advertising board".

When the client agrees on the performance of an exchange operation (sale or purchase of foreign cash or cheques), the licensed dealer will be required to issue an adequate receipt.

When performing exchange operations, the exchange dealer will apply the buying and selling rates for foreign cash and cheques that fall within the range of buying and selling rates specified in such exchange dealer’s exchange rate list for cash, provided however that the buying rate for cheques is not lower than the buying rate for cash.

Licensed exchange dealers may purchase from and sell to natural persons all currencies prescribed by the Decision on the Types of Foreign Exchange and Foreign Cash to Be Purchased and Sold in the Foreign Exchange Market.

In performing exchange operations, licensed exchange dealers will comply with all obligations prescribed in the Decision and the Guidelines.