Central Bank of BiH Paid 18.8 Million KM into Budget, Profit for 2015 Exceeds 31 Million KM

The Central Bank of Bosnia and Herzegovina (CBBiH) today, on April 7, 2016, paid the amount of 18,826,744.16 KM into the budget of BiH institutions based on the Decision of the CBBiH Governing Board on the distribution of net profit realized by the CBBiH in 2015, reports the Bosnian news agency Patria.

The net profit of the CBBiH for 2015 amounts to 31,377,906.94 KM. From this amount, in accordance with Article 27 of the Law on the CBBiH, 60% or the amount of 18,826,744.16 KM was transferred to the account of obligations towards the budget of the institutions of Bosnia and Herzegovina, while 40% or 12,551,162.78 KM was allocated to the general reserves of the CBBiH.

The achieved financial result is satisfactory, considering the situation on financial markets. Interest rates on the money market were in continuous decline, even recording negative values, and yields on the capital market followed the same trend. This, given that the spectrum of investment in certain financial instruments is very rigidly determined by the Law on the CBBiH, made the investment of foreign exchange reserves additionally complex.

Since 2004, when the application of Article 27 of the Law on the CBBiH began, the CBBiH has transferred about 421 million KM to the account of the Ministry of Finance and Treasury of Bosnia and Herzegovina, which is responsible for the budget of the institutions of Bosnia and Herzegovina, from the realized profit, including the portion of profit for 2015.