Brussels, 19/02/2013 (Agence Europe) - On 19 February, Bosnia-Herzegovina received the first €50 million tranche of macro-financial assistance from the EU in the form of a loan, the European Commission announced. “The decision to grant this assistance was taken to alleviate the impact of the economic crisis on Bosnia and Herzegovina's budgetary and external position”, the Commission stated in a press release. It expects this aid to be used at state and entity level to support economic growth so as to improve living standards for citizens. This disbursement was conditional upon the approval of the global framework of fiscal policies by the Fiscal Council and upon the tendering of the Common Government Budget Management Information System. It was delayed because Sarajevo did not fulfil the key conditions.
In order for the country to make progress in its integration process “we need to see functioning institutions at all levels, faster structural reforms and improvements in policy coordination. This means focusing on the public sector - reducing the size of government and expenditures - and making the business and investments environment better”, stated Commissioner for Enlargement and European Neighbourhood Policy Stefan Füle.
A second tranche of €50 million is planned and should be disbursed as soon as soon as certain criteria on structural reforms have been fulfilled - at the earliest in three months' time.
This macro-financial assistance follows a Council decision in November 2009. Although Bosnia did not fulfil the key conditions and the availability of the EU macro-financial assistance was due to expire in November 2012, the Commission decided on 29 October to extend the period of availability for a year. (CG/transl.fl)