Vice President of the World Bank Visited CBBH

Today, October 3, 2006, the Central Bank of Bosnia and Herzegovina (CBBH) was visited by the Vice President of the World Bank (WB) for the Europe and Middle Asia region Shigeo Katsu, who is visiting BH in order to perform the review of general economic situation in the country and states of projects supported by the WB.

The CBBH Governor Kemal Kozarić and Vice Governors Anka Musa, Feriha Imamović and Ljubiša Vladušić presented to the WB officials microeconomic indicators, firstly, the growth of the Gross Domestic Product (GDP), inflation, foreign reserves, foreign trade deficit, credit growth, as well as the foreign debt which is serviced regularly.

The WB is in the stage of creation of the 4-year strategy for the Region, including BH, where the significance of continuation of corporate restructuring and reconstruction of infrastructure are especially stressed.

The WB officials expressed their concern with the adoption of specific laws, above others, of the Law on Rights on Soldiers and the Law on Foreign Savings which could increase the internal debt of BH and influence on fiscal sphere.

Governor Kozarić confirmed the position according to which the CBBH will not be the subject to fiscal pressure, nor these issues will be solved through the printing of money without backing. The position of the CBBH and the WB is that new BH authorities have to find solutions and fulfill pre-election promises that were given in connection with these issues.