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Bosnia & Herzegovina Country Report - February, 2016

  • March 2016
  • -
  • Emerging Markets Direct Media Holdings
  • -
  • 33 pages

Summary

Table of Contents

This report covers the main macroeconomic releases from February 6 until March 5, 2016 as well as the financial and political events that took place in Bosnia during this period.

Bosnia & Herzegovina formally applied on February 15 to join the European Union after several months of delay. The country hopes to get a Euopean Union candidate status in 2017, according to Mladen Ivanic, member of the country's tripartite presidency

The president of Bosnia & Herzegovina's smaller entity, Republika Srpska, has put on hold plans for a controversial referendum on the authority of the state-level judicial institutions. The move was seen by local analysts and politicians as a climbdown by president Milorad Dodik following heavy international pressure.

The Council of Europe's Group of States against corruption (GRECO) criticised Bosnia for the delays in its anti-corruption reform agenda, which were a consequence of the lack of political will and of the fragmented and uncoordinated institutional framework.

Bosnia is expected to launch tenders for the construction of two stretches along the international transport Corridor Vc, worth EUR105mn

Turkish private company Capital Group plans to invest EUR300mn in the construction of photovoltaic power stations in Bosnia.

The European Broadcasting Union (EBU) said it has called for joint actions with the European Union to prevent the financial collapse of Bosnia's public broadcaster, BHRT.



Key points:

oCPI deflation softened to 0.8% y/y in January

oThe retail sales, measured at constant prices, increased by 7.7% y/y in January

oThe foreign trade gap narrowed 15.3% y/y to BAM282.8mn (EUR144.5mn) in January

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