An agreement by the International Monetary Fund (IMF) with B&H authorities on a new three-year extended arrangement has not yet been reached due to a lack of consensus on reforms that should be part of the program.

This was clearly stated by the IMF after their team of experts, led by Martin Petri, head of the Mission to B&H, conducted online negotiations with B&H officials in the past month.

No transmission

In other words, there is nothing from the new loan, worth 1.5 billion KM, and new negotiations will be resumed only in the spring. However, it is questionable whether an agreement will be reached, given that RS does not want any transfer of competencies.

Vjekoslav Bevanda, Minister of Finance and Treasury of B&H and a member of the Fiscal Council, who was acquainted with the negotiations, told "Avaz" yesterday that "the issue of a new arrangement with the IMF is the least problem for the authorities at the B&H level because not a single stamp from these loans are not used for the budget of B&H institutions, but those funds go to the entities."

- As the funds from the arrangement with the IMF do not go to the B&H budget, so there are no negative consequences for the financial stability of B&H if this arrangement is not achieved - says Bevanda.

Entity representatives

However, he explained that each arrangement with the IMF implies a certain set of reforms, some of which represent obligations for institutions at the level of B&H, which must be implemented after the signing of the Letter of Intent and acceptance of structural guidelines and previous measures.

- During the negotiations, I expressed readiness for B&H to accept the arrangement with the IMF, but the representatives of the entities are the ones who, in accordance with their constitutional competencies, decide what is acceptable for them and what is not, so I do not comment on anyone's decisions or actions in the Fiscal Council of B&H - says Bevanda.

Willing to compromise

- As for the Ministry of Finance and Treasury of B&H and me personally, I am always ready for a compromise based on the Constitution and laws, but you should know that I am only one of six members of the Fiscal Council and have a clear scope of my work in accordance with legal competencies - said Bevanda.