Protest in front of the National Assembly of Republika Srpska due to reduced VAT revenues for Banja Luka and Bijeljina

(Patria) - Citizens gathered in front of the National Assembly of Republika Srpska building in Banja Luka to protest the proposed Law on the Budget System of RS, which MPs are expected to consider under an urgent procedure at today's 14th special session.

The protest was announced by Draško Stanivuković, Mayor of Banja Luka, due to the proposed Law on the Budget System of RS, according to which cities with more than 100,000 inhabitants will have their VAT revenue distribution reduced by seven percent in favor of underdeveloped and extremely underdeveloped municipalities. If the law is adopted, Banja Luka and Bijeljina will lose six and four million KM annually over the next three years.

According to the explanation from the Government of RS, this law was initiated by the Association of Municipalities and Cities of RS.

The withdrawal of the proposed law is demanded, which led to the public lighting around the entity institutions being turned off and the parking lot near the Government of Republika Srpska building being blocked in recent days.

This morning, the session of the Association of Municipalities and Cities of Republika Srpska began, where Stanivuković said that he would back down and, in the interest of agreement and peace, would not continue to demand the law be withdrawn, but that it must be returned to the regular procedure.

"Let this go through the regular procedure, why are you breaking us overnight? Only Banja Luka and Bijeljina are affected. I did not come here to defeat anyone or to be defeated, and the only way to avoid that is to return the law to the regular procedure so we can discuss it together for two or three months. I am always ready for compromise. Republika Srpska cannot function without Banja Luka, nor Banja Luka without Republika Srpska," said Stanivuković.

He previously claimed that the leadership of RS was pursuing a "revenge policy" against Banja Luka. Yesterday, a protest was organized in front of the Palace of the Republic, the seat of the President of RS, where the Mayor of Banja Luka left black bags with fake money, equivalent to the planned budget of the President's Cabinet.

Namely, the National Assembly of RS is also expected to consider the Draft Budget of RS for 2025, which envisages that the President of RS, Milorad Dodik, will have 77.5 million KM at his disposal next year, which is 21 million KM more compared to this year's rebalance. Dodik and representatives of the authorities in RS claim that the budget increase is due to the construction of kindergartens.

Among other controversial materials to be considered at the special session of the National Assembly are urgent amendments to the Law on Income Tax and the Law on Contributions of RS, which increase the burden on sole proprietors.