Support of the CBBH to the Association of Leasing Companies in BiH

The Governor of the Central Bank of Bosnia and Herzegovina (CBBH) Kemal Kozarić met today, on 12 June 2008, with representatives of the Leasing Companies Association in BiH who asked the CBBH for support in order to solve numerous problems regarding leasing. 

Chairman of Leasing Companies Association in BiH Sulejman Hadžić especially stressed problem of interpretation and implementation of the Law on Value Added Tax (VAT), which is related to the retroactive payments of the VAT to full coverage vehicle insurance, which contracting and paying were mediated by leasing companies. 

Following of such attitude causes possibility of jeopardizing the leasing market in BiH, as a part of financial sector, which is developing, emphasized the representatives of Association and stressed the problems on of non existence of legal arrangements for this sector operating and absence of supervision over its operations.

The Governor Kozarić stressed that even though the CBBH it is not authorized for operations of this sector, along with the banking sector operations, it tries to promote and enhance the work of insurance companies, leasing companies and other areas of financial sector. The CBBH also supports adoption of the Law on Leasing and solving of supervision issue in this area.

Chairman of Indirect Taxation Administration's Governing Board Peter Nicholl also attended this meeting and he promised own support in solving of this problem. 

Public Relations Section