The CBBH Governor Welcomed the BH Presidency Statement

The Governor of the Central Bank of Bosnia and Herzegovina (CBBH), Mr. Peter Nicholl, welcomed the announcement by the Presidency of BiH that the Currency Board arrangement would continue as the monetary policy of BiH.

?I believe that the continuation of the currency board arrangements are in the best interests of the economy and the citizens of BiH', Mr. Nicholl said.
'The Currency Board arrangements have bought BiH a stable currency and low inflation. These are very important benefits as they substantially lower the risks of investment in BiH, which is positive for the future development of the country. They also produce important social benefits as it is usually the poor who are hurt most by high inflation.'

'The Presidency is to be congratulated for taking an early decision on this important issue,' Mr. Nicholl said.

'It is very important to avoid uncertainty about financial policies as such uncertainty can quickly affect peoples' behavior. The citizens and businesses of BiH can now plan ahead with the confidence that the exchange rate stability and low inflation that the country has achieved will be continued.