Draft Budget of the FBiH for 2018 Determined

The Federal Government has determined and sent the draft Budget of the Federation of BiH for 2018 and the Law on its Execution to the parliamentary procedure.

According to the Draft, the Budget of the FBiH for 2018 amounts to 2,875,051,837 KM, which is 127.4 million KM or five percent more compared to this year's budget. Planned total revenues and receipts have been increased by the same amount.

Total tax revenues are projected at 1,662 million KM, which is 91 million KM or six percent higher than this year. Tax revenues from individual and corporate income tax are planned at 67.5 million KM, gross revenues from indirect taxes at 1,594.4 million KM, and net revenues at 949,192,372 KM.

The draft budget for 2018 plans for the issuance of short-term and long-term bonds of the FBiH in the amount of 510 million KM, intended mostly for refinancing existing debt.

Funds for capital investments have been significantly increased and total 256 million KM, representing ten percent of the Budget, so the draft budget for 2018 also has a development component.

The FBiH Government continues to invest in road infrastructure in 2018, so the draft budget plans 183 million KM for the construction of highways and expressways.

Also planned are 12.7 million KM for the continuation of the employment support project financed by a World Bank loan, and two million KM for the implementation of the Decree on Employment and Self-Employment.

Through Union Bank, the BiH Government will establish a favorable credit line for young people to solve housing issues by allocating funds in the amount of ten million KM.

An increase in investments in business zones in local communities by five million KM is also planned, with the aim of attracting potential investors and strengthening local self-government.

To reduce costs of rent, maintenance, and insurance for buildings housing federal institutions, the FBiH Government intends to permanently resolve the accommodation of institutions in 2018, for which it has planned funds in the amount of eight million KM for institutions in Sarajevo and nine million KM for institutions in Mostar.

Aware of the fact that some cantons and municipalities are in a difficult financial situation, the FBiH Government has increased transfers to cantons and municipalities to 18 million KM, while the Rebalance for 2017 shows this transfer at 12 million KM.

For the next year, the start of the work of the Special Department of the Supreme Court of the Federation of BiH and the Special Department of the Federal Prosecutor's Office for the fight against corruption and organized crime is planned, for which certain funds have been allocated in the draft budget.

Total expenditures and outlays in the Budget of the Federation of BiH for 2018 amount to 2,875,051,837 KM.