Podgorica, (Montena-business)-The Central Bank of Montenegro (CBMN) prepares a Decision on Reduced Rate of Required Reserves for Commercial Banks that will, according to the Board of the Bank Union, financial institutions and insurance, increase liquidity of the banks system. The Board’s Report on the realisation of monetary-credit policy for the first nine months of this year says that the CBMN will continue with a restrictive monetary policy in the future. The Montenegrin banks had, at the end of October, 173 million deposits, which is 82% more than at the end of last year, says the report. The amount of October’s deposits is increased by 6 million or by 4% comparing to last month. Half of the daily deposits in the banks are economic deposit, while deposits of other sectors are quite smaller. ”The reason for this obvious growth of economic deposits are attempts at preventing ‘black economy’ and to turn the deposits back into legal movements” says the report. The total amount of bank’s credits, which includes foreign credits and credits in DEM, was at the end of October DEM 1,4 billion, or an increase of 4% compared to the end of last year. The reasons for their growth are increase of credits in DEM through the Hipotekarna Bank and the Podgoricka Bank, mostly at the second quarter of this year. “The credits in DEM are 15% of the total credits, while the rest of the credits are foreign credits from before” it is written in the report. According to the information on realisation of the monetary-credit policy for the first nine months, the bank’s total capital was DEM 2 billion, and it’s structure is very bad. “Only 19% of the total capital are deposits, which represents an undeveloped deposit function of the banks caused by a lack of savings, irregular old savings in foreign currency, lack of confidence in the bank system and non-liquidity of the economy” says the report. af/bd