Government's short-term set of measures to help the economy until March 31

(Patria) - The Coordination Body for proposing measures for the protection and recovery of the economy and improving the position of employees and entrepreneurs affected by the crisis caused by the coronavirus pandemic held a meeting today in Sarajevo Canton.

According to the Ministry of Labour, Social Policy, Displaced Persons and Refugees of KS, the participants of the meeting were the Prime Minister of KS Mario Nenadić, Minister of Finance Jasmin Halebić, Minister of Economy Draško Jeličić, Minister of Labour, Social Policy, Displaced Persons and Refugees of Sarajevo Canton Jasna Agić, as well as representatives of the Employers' Association and the Institute of Economics.

The key conclusion of this meeting is that the Government of Sarajevo Canton will adopt a short-term set of measures to help the economy by March 31 in order to preserve jobs. It will include assistance to legal entities affected by the bans on business activities in the fields of tourism, hospitality, catering, passenger transport, trade, and the like, especially those whose predominant activity, according to the classification of activities, is covered by the bans.

It was also concluded that a medium-term set of measures will be adopted after the rebalancing of the Sarajevo Canton Budget, and that a set of long-term measures for the recovery of the cantonal economy will be adopted after the crisis is over. It was emphasized that the Government will help employers who have retained their workers by co-financing part of the costs for the payment of March and April salaries. Data will be collected from the Tax Administration on the number of legal entities and the number of employees who have been retained in employment by March 31 and April 30, 2020, respectively.

It was emphasized that employees are the responsibility of both the Government and employers, that the Government wants to help the economy, but that employers should also show responsibility and sensitivity. The employers' proposal for measures, which also calls for the abolition of parafiscal levies and exemption from rent, was also considered. Employers also pointed out that employees in the public sector should share the burden of the crisis in solidarity with the real sector.

It was announced that the Government will organize a meeting tomorrow with trade unions and mayors, as well as with representatives of the federal level of government, in order to find the best solutions for the economy and workers in Sarajevo Canton.

The meeting also discussed exemption from corporate income tax for 2019, but it was concluded that in this specific case, it falls under the jurisdiction of the Federation of Bosnia and Herzegovina.