Table of Contents
This report covers the main macroeconomic releases from July 7 until August 6, 2014 as well as the financial and political events that took place in Bosnia during this period.
Bosnia's GDP expanded a real 2.7% y/y in the first quarter of 2014 quickening from a 2.0% y/y growth in the previous three months, which was underpinned mainly by rising manufacturing, construction and wholesale and retail trade output.
Bosnia's authorities estimated the overall economic impact of the mid-May floods in the country at BAM 3.98bn (EUR 2.04bn) as damages amounted to BAM 2.49bn (9.3% of GDP), while losses equalled BAM 1.49bn. In Brussels was held the EU-sponsored donor conference, which has managed to mobilise EUR 809mn for Bosnia to face their financial needs.
The report also contains information about the Bosnia's Federation second revision of this year's budget. It speaks about major projects that Bosnia's Serb Federation plans by 2015.
oCPI declined for the eleventh consecutive month in June 2014 going down 1.4% y/y reflected a sharper decrease in food, clothing and housing prices and a softer growth in health charges.
oRetail sales recorded 0.6% annual growth in June 2014 thanks to rising sales of non-food products and automotive fuel. IMF sees that private consumption in Bosnia will reach 1.3% this year.
oThe number of employees in Bosnia grew 2.3% y/y in May 2014, while the average net monthly wage edged down by a nominal 0.2% y/y to BAM 830.
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