VIDEO House of Representatives of the Parliament of FBiH discusses Budget for 2026, representatives ask if the Greek scenario follows

(Patria) - After a break, the session of the House of Representatives of the Parliament of FBiH continued, with the first item on the agenda being the FBiH Budget under urgent procedure.

Federal Prime Minister Nermin Nikšić stated that the Government allocated funds for Željeznice FBiH and the Film Centre this morning, which are amendments by the Government.

The draft Budget for 2026 has been prepared under complex conditions, Nikšić said. It has been set at 8.9 billion KM.

"Total budget revenues are planned at 6.51 billion KM due to slightly lower contributions that have been in effect since July 1, 2025. Revenues from contributions to Pension and Disability Insurance are planned at 3.27 billion KM, which is less than in 2025. Revenues from indirect taxes remain relatively stable. Total expenditures are planned at 7.7 billion KM, which represents an increase. This difference up to 8.9 billion is for the repayment of external debt. The most significant difference is the increase in social benefits. Almost half of the budget, 4.2 billion, is for pensions. A 17 percent increase in pensions is planned," Nikšić said.

He stated that veteran and disability benefits, and child protection are being increased.

Although he said he expects stabilization of fiscal conditions during 2026, there will be challenges.

20 million KM is planned for resolving housing issues for young people through Union Bank.

He said that current revenues cannot cover all expenditures, and additional borrowing is necessary.

Head of the SDA Caucus Mirsad Zaimović stated during the discussion that there is a deficit of 1.6 billion KM.

"The record budget is the result of increasing borrowing, not a better life. The number of employed people is falling, the number of pensioners is rising. We should increase pensions, but we need to balance the revenue and expenditure sides of the budget. I don't see a way to finance all of this without getting into huge problems. Everyone will refer to the law on fiscalization of transactions, and the law is planned to be in effect from the middle of next year. The more the state sinks into debt, the more it loses the trust of creditors. When Greece found itself in a similar situation, it had to seek help from the IMF, but then it had to play by their rules. Wage cuts, layoffs of public administration workers. We are entering a phase where the entity, which was economically healthy, can no longer finance its obligations. I hope this day will not be remembered as the day when the Federation of BiH embarked on debt slavery," Zaimović said.

Head of the SBiH Caucus Admir Čavalić stated that this budget is a blatant example of what it means when the first principle of economics is ignored.

"I wouldn't want to be in the shoes of those who have to implement this budget," Čavalić said.

Head of the DF Caucus Mahir Mešalić stated that just as the government came to power ingloriously, it will also leave.

"The government should not plan a budget with a deficit except in cases of natural disasters. You are directly violating Article 43 of the Law on Budgets of FBiH. You do not need to borrow to this extent. The budget plans revenues of 6.5 billion and expenditures of 7.6 billion. You will cover the difference by borrowing. And that wouldn't be a problem if you were investing in road infrastructure or some other project. You have planned borrowing on the London Stock Exchange in the amount of 1.6 billion KM, and citizens will pay you interest. Nothing new that we haven't seen before. This is a historical blow to the citizens and to future citizens in FBiH. The growth in the number of employed people has stopped, there are no investments, no energy projects, it is clear to us that this is an election year, but destroying the country for the sake of positions is not good, even if it is served by this imposed Government," Mešalić stated.