We present the Draft Budget of the FBiH for 2021, Novalić highlights two things

SARAJEVO, (Patria) - Prime Minister of the Federation of BiH Fadil Novalić presented the Budget for 2021, noting in the introduction that the pandemic worldwide has caused disruptions. 

"This crisis came from outside economic factors, from the health sector. The financial sector is expected in this crisis to ensure the continuation of liquidity. The current crisis arose as a direct shock on the supply and demand side. Lower demand, due to lockdown and saving money, results in a decrease in the need for work, which results in a decrease in the number of jobs and paid salaries, and that results in a decrease in consumption," states Novalić. 

Through diagrams and a presentation, Novalić explained the procedures, decisions, and measures that the FBiH Government adopted from the beginning of the pandemic, and their consequences on the budget.

He also explained how the "corona" law functioned, noting that indirect taxes fell the most, and that cantons are mostly financed from these indirect taxes. 

"Our real sector diligently preserved jobs and paid taxes. From the results we have achieved, we are drawing measures that need to be taken with this budget to stabilize the situation. Of these, two in particular, and those are GDP and jobs," said Novalić. 

As he said, the FBiH budget for this year amounts to 5,481,251,699 KM and is about 27.7 million KM lower compared to the amount foreseen by the rebalancing for 2020, and compared to the 2020 budget, it is almost 500 million KM higher.

See the complete Draft Budget for next year at this link.