Interest Rate Drop: Savings with BiH Banks No Longer Profitable, Citizens Should Invest in Economy

Citizens in Bosnia and Herzegovina who have been saving money in banks and earning interest from it will likely start changing their mindset, as interest rates on savings with banks operating in BiH are decreasing. For example, the average interest rate on deposits four years ago was around 3.17 percent, while in the first six months of 2015, the interest rate dropped to 2.46 percent annually, writes the Patria News Agency.

Experts have previously warned that citizens should invest surplus money in education and the economy, rather than keeping it in bank accounts. This would not only increase their profits but also improve the overall economic situation in the country.

Economics expert Professor Hasan Muratović previously reminded the Patria agency that citizens have nine billion KM in savings in banks, but immediately added that these same citizens "have the knowledge, they would invest money in business," writes NAP.