News in English     | 15.12.2020. 14:00 |

Milićević: FBiH draft budget for 2021 submitted to the FBiH Parliament

FENA Darinka Mitrović

SARAJEVO, December 15 (FENA) - Deputy Prime Minister of the Federation of BiH and Minister of Finance Jelka Milićević said today at a press conference in Sarajevo, after the FBiH Government session, that the FBiH Draft Budget for 2021 was sent to the FBiH Parliament in an urgent procedure.

She reminded that negotiations regarding the arrangement with the IMF have not been completed yet, and that information in the media noted that there are unresolved issues between the entities.

"These are not uncoordinated issues between the entities, but in a certain way unresolved issues and unclearly defined issues between BiH and the IMF regarding preconditions and certain structural determinants. For these reasons, we could not send a proposal and then a draft budget, considering that the sources of financing have not been fully rounded up,"  stated Milićević.

When it comes to 2020, there was a drastic drop in revenues, more than 15 percent, and at the same time the demands of lower levels of government, businesses, as well as the demands of the health sector increased because the costs of remediation and mitigation of the pandemic have increased. In such circumstances, the Ministry of Finance, as Milićević stated, made a framework that was accepted by the Government today and it amounts to 5,481,251,699 KM, which is a framework for stabilizing public finances, and for the continuing of measures and policies of the Government to recover and stabilize the economy.

"The drop in VAT revenues is approximately expected at the level it was this year, we expect contributions for pension insurance with a slight increase of 13 percent, which means that additional measures for employment and job creation will succeed in restoring the number of employed. At the moment, we have 12,000 more unemployed in FBiH compared to 2019," stated Milićević.

All other revenues, according to her, are retained or are in a slight decline compared to last year.

"12 million KM is planned for the vaccine against Covid-19, and that is something related to the joint procurement that is coordinated from the state level," added Milićević.

 

(FENA) S. R.

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