Federation of BiH gets budget for 2026 in the amount of 8.9 billion KM

(Patria) - The House of Peoples of the FBiH Parliament adopted the FBiH budget for 2026 tonight by a majority vote at an extraordinary session.

The House of Peoples also adopted the accompanying act, the Budget Execution Law.

Let us remind you, the budget was also supported by the House of Representatives of the FBiH Parliament three days ago.

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FBiH Budget Proposal for 2026 Adopted

(Patria) - The House of Representatives of the Parliament of the Federation of Bosnia and Herzegovina adopted the Budget Proposal for 2026 tonight in the amount of 8.9 billion KM. The budget was supported by 56 representatives, two abstained, while 23 voted against. For this most important doc

The budget was proposed by the FBiH Government in the total amount of 8,898,279,146 KM, which is 649 million KM higher than last year.

The Government explained that the main goal is sustainable public finance management with responsible expenditure control and ensuring stable sources of financing.

"The budget is aimed at fulfilling obligations to citizens and institutions, with a special focus on social protection, healthcare and pension systems, a stable business environment, and maintaining the functionality of public services," the Government stated.

Federal Minister of Finance Toni Kraljević and Prime Minister Nermin Nikšić had previously boasted that the largest budget of the Federation of BiH to date was proposed for 2026.

- The main focus of the budget is the Pension and Disability Insurance (PIO) allocation in light of the expected adoption of the PIO law, i.e., double pension harmonization, from January 1st and July 1st. PIO expenditures have increased to four billion and 422 million KM - Kraljević and Nikšić explained.

Kraljević added that the budget also provides strong support to lower levels of government - for cantons, municipalities, cities, and additionally for underdeveloped local communities, with 100 million KM allocated to the Solidarity Fund, while the housing program for young people continues with 25 million KM through the state-owned Union Bank.

Regarding the funds allocated to the Solidarity Fund, the amount was increased from the initially planned 80 to 100 million KM at the session of the House of Representatives three days ago, which was also confirmed today by Alija Aljović from the Federal Ministry of Finance while explaining the budget to the delegates of the House of Peoples.

According to the proposed FBiH budget, agricultural incentives have been increased to 190 million KM, the transfer to the Ministry for Veterans' Affairs has been increased by 56 million KM, and the transfer for non-war invalids, civilian war victims, child allowance, and parental caregiver benefits has been increased by 138 million KM, Aljović also stated.

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GOVERNMENT EXTRAVAGANCE KNOWS NO BOUNDS Record budget, yet cancer patients are still neglected

By: D. KovačThe Federation of Bosnia and Herzegovina has passed the halfway point towards obtaining the budget for 2026. The procedure is not yet complete as it must be supported by the federal House of Peoples in the identical text as adopted by the House of Representatives last night.

According to him, for obligations in the area of pension and disability insurance, the increase is 541 million. Four million KM are planned for the operationalization of a helicopter for the Federal Police Administration, and three million KM for the Ministry of Justice for software for business entity registration.

The budget also plans increased capital transfers for road infrastructure and additional funds for education, science, culture, and sports, stated Aljović, as well as Federal Minister Kraljević.

The revenue side of the budget is planned cautiously and conservatively, which also applies to borrowing, these officials stated while explaining the details of the planned federal budget to the House of Peoples, along with many other elements.

Kraljević previously emphasized that capital projects also play a significant role, with 249 million KM for the construction of highways, expressways, and main roads, ten million KM for the improvement of air traffic, five million KM for the airport in Bihać, and six million KM for the recapitalization of the FBiH oil terminals.

Allocations for the recapitalization of the Banovići mine as a strategic resource are also planned.

According to the Federal Minister of Finance, capital and current transfers from the budget of the Federal Ministry of Environment and Tourism have also been increased.

- We continue to support the real economy sector through the Ministry of Crafts and Entrepreneurship, for the development of entrepreneurial infrastructure based on the Law on the Development of Entrepreneurial Infrastructure, where local self-government units are applicants.

Similarly, from the Ministry of Physical Planning, where we have several items - from energy efficiency projects, landslide remediation, national monuments.

Then from the budget for education and science, where there are additional funds for the improvement of scientific research, support for academies, and from the budget for culture and sports, 30 million for the construction, adaptation, and reconstruction of sports infrastructure facilities, and ten million for the reconstruction and construction of cultural institution facilities - said Kraljević.

He added that items for cultural events of special importance for the Federation of BiH have also been increased.

According to him, on the social budget line, amendments to the PIO law correlate with an increase in the budget item for civilian war victims and non-war invalids (an additional 56 million KM) and for veteran transfers (an additional 56 million KM), totaling 112 million KM in additional allocations.

- Debt repayment, including interest, is planned in the amount of one billion and 309 million KM - Kraljević emphasized, summarizing the most important characteristics of the FBiH Budget Proposal for 2026.

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HOUSE OF PEOPLES Opposition on the proposed budget: This is the path to the destruction of FBiH

(Patria) - The discussion on the FBiH Budget Proposal for 2026 at today's extraordinary session of the House of Peoples of the FBiH Parliament was marked by sharp criticism from the opposition due to the urgent procedure, the absence of Prime Minister Nermin Nikšić (SDP), and the lack of real

During today's discussion on the proposed budget, delegates from opposition parties warned that the Federation of BiH faces a "Greek scenario". Their main objection was that the FBiH needs to borrow about 2.3 billion KM out of the total budget amount planned at 8.9 billion KM, with about 1.4 billion KM of this borrowing from the international market.

Among others, SDA delegate Haris Zahiragić stated that the previous government of Fadil Novalić left a surplus of 500 million KM, which the new government spent and planned borrowings. The budget indicates that the Federation of BiH faces an economic and financial collapse, added SDA delegate Muamer Zukić.