Governor Softić held a meeting with representatives of the Association of Banks of BiH

Governor of the Central Bank of Bosnia and Herzegovina, Dr. Senad Softić, held a working meeting today, February 5, with representatives of the Association of Banks of Bosnia and Herzegovina (UBBiH), led by the President of UBBiH, Milan Radović, during which they discussed issues of importance for the operation of the banking and financial sector as a whole, reports the BiH news agency Patria.

The discussion emphasized the need to strengthen coordination between all actors of the financial and banking system – the Central Bank of Bosnia and Herzegovina, entity banking agencies, the Deposit Insurance Agency of Bosnia and Herzegovina, and commercial banks in BiH through UBBiH, within their competencies, with the aim of creating a more favorable environment, better system functioning, and adopting higher quality regulations and solutions.

The interlocutors agreed that, in the interest of transparency and unified functioning of the banking and financial system, the existence of a Unified Register of Transaction Accounts and a Central Credit Register is of crucial importance. It was emphasized that these registers must be comprehensive and contain up-to-date data.

The meeting also addressed the issue of mandatory reserves, both the base and the rate for calculating mandatory reserves, as well as the issue of special reserves for public revenue funds that banks are obliged to set aside in accordance with entity banking laws. In this context, it was highlighted that the issue of mandatory reserves falls under the exclusive jurisdiction of the CBBiH as the BiH-level institution responsible for monetary policy.

During the meeting, the need to promote cashless payments was also pointed out, given the higher level of cash payments in BiH compared to global trends. 

The interlocutors touched upon other topics as well, agreeing to continue discussions on all open issues at the level of competent institutions with the aim of improving cooperation.