BiH Presidency to Make Key Decisions on BiH Armed Forces and BiH Central Bank Funds Today

SARAJEVO, (Patria) - An extraordinary session of the BiH Presidency will be held today at 5 PM, and due to self-isolation after returning from Canada, the BiH Presidency Chairman Željko Komšić will join via video link.  

BiH Presidency member Milorad Dodik will propose today at the BiH Presidency session that the Central Bank of Bosnia and Herzegovina "release" two and a half billion KM. He will also propose reducing the mandatory reserve ratio for banks to leave more money for citizens and the economy.

"I will ask for the negative mandatory reserve rate to be abolished, for it to be reduced by half, so that it is 5 percent. This would release two and a half billion convertible marks in liquid assets through the Central Bank of BiH, which will affect the liquidity of banks and their ability to follow economic trends," Dodik said.

He added that he believes Komšić and Džaferović will agree to this because it is in the interest of the banking sector in the FBiH.

"We are trying to follow the bankers' measures and reduce negative consequences. I am grateful to the bankers for reacting quickly so we can discuss how to maintain liquidity and how to support the economy. In that regard, only a comprehensive system of measures can help solve the problems," Dodik said.

He added that during the BiH Presidency session, measures against those who do not respect quarantine will be discussed. He also reiterated the position that the Armed Forces of BiH will set up tents at the border to provide accommodation for the isolation of BiH citizens, while all other matters will be managed by entity services.

"This is a difficult period for everyone, there is no room for panic - but there is room for concern. Citizens must follow the advice of health workers. The European Union has decided not to export medical equipment outside the EU borders. So, it seems that only the virus can come to us from the EU, but not help with the virus," Dodik said.  

Dodik said that we could expect 200 million euros from the IMF, which would be distributed equally to the entities.