Treason costs: Pretis experiences biggest drop on the stock market today

By: A. Čorbo-Zećo

Still recovering from last night's interview with Akos Horvat, who spoke very openly about the government's malversations in the defense industry, today we are seeing the expected market reaction.

The biggest drop on the stock market was recorded by the company Pretis d.d. Vogošća on ST3, where the turnover amounted to only 2,800 KM, while the share price fell by 6.98 percent, to 40 KM.

The fall in the value of Pretis shares is not surprising; on the contrary, it appears to be a direct consequence of the warnings publicly issued the day before. All this had been discussed before, but last night the confirmation arrived, as clear as it could be.

In the show "Istraga sedmice" (Investigation of the Week), a representative of the American company Regulus Global made a series of serious accusations against the authorities in the Federation of Bosnia and Herzegovina. Claims that "Pretis is on its knees", that millions in investments are blocked, and that part of the production and equipment has been moved out of Bosnia and Herzegovina, raise questions about the serious collapse of the defense industry, a sector that has, or should have, strategic importance for every country.

In this context, more and more people believe that such treatment of a company like Pretis goes beyond poor management and enters the zone of political and economic responsibility at the highest level. The conscious weakening of the defense industry, especially in a country with a complex security environment, is unreservedly called treason by many.

Accusations of political influence further deepen the concern. The federal Minister of Energy, Mining and Industry Vedran Lakić, the Minister of Defense of BiH Zukan Helez, as well as the Prime Minister of the Federation of BiH Nermin Nikšić, were named, with claims of political employment, pressure, and dismissals that are not the result of business decisions.

Just a day later, the market reacted with symbolic turnover and a falling price. Such an outcome is not surprising. Investors, especially foreign ones, are extremely sensitive to political instability, institutional blockades, and messages indicating non-transparent management permeated by nepotism.

However, perhaps the most significant detail of the entire situation is the silence. Everywhere else in the world today, governments would fall, but BiH seems to be an exception.

Despite the seriousness of the accusations made and their potential consequences for the economy and security, clear and timely reactions from the competent institutions and the accused actors have been absent.

In a situation that requires urgent clarification, the public has been left without answers. And when answers are missing, the market, as a rule, writes them itself. And it does so through a fall in value.

At the same time, a reaction from judicial institutions is expected to the allegations of corruption and non-transparency, which are claimed to be seriously founded. However, they too are silent for now.