Press Releases
Council of Ministers of Bosnia and Herzegovina Holds Its 76th Session
10/04/2016
Vijeće ministara Bosne i Hercegovine
The Council of Ministers of BIH defined Proposal Basics and appointed a negotiating delegation for conclusion of an Agreement between Bosnia nd Herzegovina and the Republic of Seria on border-crossings, by which the two states improve their bilateral cooperation in the area.
The Proposal Basics provides for the establishing of a new joint border-crossing at Bratunac (New Bridge – Ljubovija (New Bridge)), and introduction of a permanent ferry boat border-crossing at Janja-Lešnica, which would foster international cooperation, better border control and facilitate border crossing by citizens.
The Proposal Agreement will be sent to eh BIH Presidency for further procedure, and the Minister of Security was proposed for the BIH signatory.
SUPPORT TO EMPLOYING IN BIH
The Council of Ministers of BIH endorsed an initiative of the Ministry of Finance and Treasury, and appointed a negotiating delegation for conclusion of a Loan Agreement worth USD 56,010,000.00 for a Support to Employment Project between Bosnia and Herzegovina and the International Bank for Reconstruction and Development.
Out of the total sum, the Federation of BIH will get USD 32,250,000.00 and Republika Srpska will get USD 23,760,000.00.
The Project will secure support to mediation service provision in employing for nearly 30,000 needy unemployed persons, especially the youth and vulnerable categories.
The Ministry of Finance and Treasury will provide a Draft Agreement with basics for its conclusion to the Council of Ministers, upon the completion of negotiations.
EUR 10 MIL. FOR PORT BRČKO REHABILITATION
The Council of Ministers of BIH endorsed an Initiative of the Ministry of Finance and Treasury Council of Ministers for negotiations on a Loan Contract between Bosnia and Herzegovina and the European Bank for Reconstruction and development, worth EUR 10 million for the rehabilitation of the Port Brčko.
With the project realised, a volume of reloading in the Port Brčko is expected to rise for 25%, to affect positively to the economic develop went of the region. The loan term is 15 years, including three years if grace period.
After completed negotiations, the Ministry of Finance and Treasury will provide the Draft Contract with Basics for its conclusion to the Council of Ministers of BIH.
BIH REGION’S LEAST INDEPTED COUNTRY
The Council of Ministers of BIH adopted Information on the Status of Public Indebtedness of Bosnia and Herzegovina as at June 30, 2016, and it will provide to the Parliamentarian Assembly of BIH.
The total public indebtedness of BIH as at June 30, 2016 was about KM 11.9 billion, as decreased for KM 19.55 million in relation to the same period last year. The share of public debt in GDP is about 39.4 per cent (as per expenditure method), or 41.5 per cent (as per production method), which classifies BIH among the least indebted countries of the region and in Europe, as well
For total public indebtedness the Federation of BIH accounts for 54.76 per cent, Republika Srpska for 44. 57 per cent and the Brčko District for 0.21 per cent.
BIH foreign debt is about KM 8.36 billion and it is reduced for KM 51.06 million in comparison to June 30, 2015.
In total foreign debt as at June this year, 52.14 per cent of new loans relate to infrastructure projects implementation, and out of total withdrawn funds In January-June 2016, 66.89 per cent refer to infrastructure projects.
In time between January 1 and June 30, 2016, the amounts due under foreign debt were serviced regularity in total amount of KM 332.31 million, and that KM 59.15 million or 82.2 per cent for principal repayment and KM 59.15 million or 17.8 per cent for interest, service and other costs payment.
The internal indebtedness of BIH as at June 30, 2016 was KM 3.56 billion as increased for 0.89 per cent in relation to the same period last year. In total terms, the Federation of BIH participates with 36.8 per cent, Republika Srpska with 62.90 per cent and the Brčko District with 0.12 per cent.
DISTRIBUTION OF CLEARING DBT OF RUSSIAN FEDERATION TOWARDS BIH
The Council of Ministers of BIH defined Proposal Basics for negotiations on an Agreement between the Council of Ministers of Bosnia and Herzegovina and the Government of the Russian Federation on regulating obligations of ex-SSSR under accounting connected to a foreign trade between the ex-SSSR and ex-SFRY, on which all BIH Institutions, including the Entity Governments gave their positive opinion.
According to the Proposal Basics, the clearing debt of the Russian Federation towards Bosnia and Herzegovina is USD 125,157,834.38, of which the Federation would get USD 72,591,543.94 or 58 per cent, Republika Srpska would get 36,295,771.97 or 29 per cent, BIH Institutions would get USD 12,515,783.44 or 10 per cent and Brčko District would get 3,754,735.03 or three per cent.
The proposed shares match the legal solution on distribution, allocation and use of financial resources received based on the Annex “C” within BIH.
The Ministry of Finance and Treasury will provide the Proposal Basics to the BIH Presidency for further procedure, and the Minister of Finance and Treasury was proposed for the BIH signatory.
BETTER PROTECTION OF DOMESTIC ECONOMY
The Council of Ministers of BIH took a Decision on obligatory application of preferential treatment of domestic production for an additional protection of domestic economy and increase of competitiveness of domestic products with simultaneous complying with CEFTA Agreement as to an equal treatment of suppliers from the countries signatories of the Agreement.
According to the Decision, domestic supplies will be reduced in comparison to foreign supplies by year 2020. Therefore, the preferential factor under awarded contracts in years 2015 and 2016 will be 15 per cent for, 10 per cent in 2017 and 2018 and five per cent in 2019.
The novelty is that the application of preferential factor I is being excluded in relation to CEFTA countries in cases when suppliers from CEFTA offer goods or labour which are residents of the CETA countries-signatories.
The domestic producers will be additionally stimulated by giving the preferential treatment to a group of suppliers comprised of suppliers from CEFTA countries and at least one BIH supplier, under condition that such group of suppliers offer 50 per cent minimum of goods originating from BIH, i.e. it hires at least 50 per cent of labour, residents of BIH.
The Decision came as a joint initiative of the Federal Ministry of Energy, Mining and Industry and Ministry of Industry, Energy and development of Republika Srpska, endorsed by the Council of Ministers of BIH. Its consent for the Decision taking was granted by the BIH Public Procurement Agency Board.
IMPROVED APPLICATION OF CONVENTION ON RIGHTS OF CHILD
The Council of Ministers of BIH adopted Proposal Basics for Accession of Bosnia and Herzegovina to the Facultative Protocol to the Convention on Rights of Child referring to procedure upon submissions, as proposed by the Ministry for Human Rights and Refugees for the purpose of strengthening and supplementing domestic mechanisms and further promotion of application of the Convention on Rights of Child.
The purpose of the Protocol is to strengthen and supplement national and regional mechanisms enabling claim submission for violation of rights directly to the Committee for Rights of Child, and to define who has the right to submission. Simultaneously, the Protocol introduces a possibility for taking a tentative protection measure so as to prevent inflicting unrecoverable damage to a victim or victims of alleged violations. Also a possibility is provided to the state to fil a claim against the other state in case of violating the rights prescribed by the convention on Rights of Child and its accompanying Protocols.
The Proposal Basics will be provided to the BIH Presidency for further procedure, and the Minister for human Rights and Refugees was proposed as the BIH signatory.
BIH MADE PROGRESS IN FORMAL ENTREPRENEURSHIP LEARNING
The Council of Ministers of BIH adopted Information by the Ministry of Civil Affairs n implementation of a Strategy of Learning on Entrepreneurship in Education System in Bosnia and Herzegovina for 2012-12015 with its Action Plan.
Considerable results were achieved in the Strategy implementation per all strategic priorities, especially in institutional development (development of key documents, approaches and concepts) and in the segment of human potentials for introduction of entrepreneurship courses into formal education at all levels (elementary, secondary and high education), as well as in informal life-long education.
The progress achieved in development of policies of entrepreneurship learning in BIH was noted in both the last ECD/EU/EBRD/ Consortium Report on SMEs Policies Index and in SBA (Small Business Act for Europe) Evaluation of implementation in the Western Balkans and Turkey (OECD Paris 2016), where Bosnia and Herzegovina got score 2.54 for formal entrepreneurship learning, which signified an improvement relative to year 2012 when it got score 1.50. At the same time, a considerable progress was made in the informal entrepreneurship learning, where BIH got score 2.83, better one relative to 2012 score of 2.31.
CULTURAL INSTITUTIONS TO RECEIVE KM 1.2 MIL GRANT
The Council of Ministers of BIH took a Decision on allocation of a grant funds for co-financing of projects implemented to cultural institutions in Bosnia and Herzegovina for year 2016.
The KM 1,208,000.00 worth grant will be distributed to 23 cultural institutions in BIH. The funds beneficiaries need to submit project and financial reports at least 30 day upon the projects completion.
AROUND KM 26.7 MIL. ALLOCATED FOR ROMA POPULATION IN 2009-2015
The Council of Ministers of BIH adopted a Ministry for Human Rights and Refugees Report on implementation of the Revised Action Plan of Bosnia and Herzegovina for solving the issues of the Roma population in employment, housing and health care in 2013-2016 for year 2015.
The Ministry for Human Rights and Refugees will, in cooperation with the Entity and Brčko District Governments and in compliance with recommendations in the report, continue implementing the recommendations and creating further activities for Roma integration, in accordance with the European Union Framework for National Strategies for Roma Integration by 2020.
In time between 2009 and 2015, allocated was totally KM 26,715,308.57 for employment, housing and health care of the Roma, out of which KM 17,337,000 was from the Ministry for Human Rights and Refugees budget, while the remaining sum of KM 9,378,308,57 were co-finances.
Totally constructed or reconstructed were 565 housing units in the reported period, and this includes the end of reconstruction and construction of housing units.
For employment and self-employment of Roma in 2009-2015 period of time, totally KM 4,022,000.00 was allocated, from which 517 Roma benefitted.
Funds for health care were implemented in cooperation with Public Health institutes in the Federation of BIH, the Public Health Institute of Republika Spska and with competent bodies of the Brčko District.
KALABA, RDIĆ AND MAČKIĆ IN BIH VETERINARY OFFICE
The Council of Ministers of BIH appointed Ljuboir Kalaba for Manager, Pavo Radić for Deputy Manager and Sejad Mačkić for Secretary in the Veterinary Office of Bosnia and Herzegovina, as the best scored candidates, according to an Opinion of the BIH Civil Service Agency, following the completed vacancy procedure.
TASK FORCE FOR MONEY-LAUNDERING AND FINANCING OF TERRORISM RISK EVALUATION
The Council of Ministers of BIH to a Decision to set-up a Task Force for money-laundering and financing of terrorism risk evaluation.
The Task Force will be comprised from two representatives from each the Ministry of Security, on behalf of the Council of Ministers of BIH, Entity Governments, Government of the Brčko District, BIH Delegation in MONEYVAL, and State Investigations and Protection Agency – Financial-Intelligence Department.
The Task Force will develop a risk evaluation and provide it to the Council of Ministers by April 15, 2017, while by October 10, 2017 it will have developed and presented an Anti-Money Laundering and Anti-Financing of Terrorism Action Plan for 2018-2022.
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