Central Bank of BiH Achieved Profit of 35.4 Million KM in 2014

The Central Bank of BiH predicts GDP growth of up to 2.6% this year, despite an unemployment rate of 27.5%, of which 33% relates to the grey economy, said the Governor of the CB BiH Kemal Kozarić at the annual press conference, writes the BiH news agency Patria.

Kozarić stated that the CB BiH achieved a profit of 35.4 million KM in 2014, and the total portfolio value is 139.9 million KM.

- We increased the portfolio's profit through investments. We finished 2014 quite successfully, and foreign exchange reserves amount to 7.8 billion KM – said Kozarić.

The net profit of the banking sector in 2014 was 136 million KM, and the biggest burden for the banking sector is non-performing loans with a rate of 14%.

The Central Bank of BiH paid 284 million KM to the BiH Budget from 2008 to the end of 2014, and 21,246,050 KM in 2014 alone.

As highlighted at the press conference, the CB BiH ensured progress in European central banking standards in 2014.

- Rating agencies that assess credit ratings visit twice a year. According to Standar&Poor's, BiH has a credit rating of B with a stable outlook, and according to Moody's, it is rated B3 with a stable outlook – it was announced.

Last year, the Central Bank of BiH recorded an increase in payment transactions amounting to 175.5 billion KM, which were processed through the five largest banks in BiH.

Kozarić also announced that a BiH delegation will visit Washington next week, where negotiations with the IMF on a credit arrangement could begin.