Sjednice
Council of Ministers of BIH Holds Its Regular 45th Session
12/16/2021
The Council of Ministers of BIH took unanimously a decision on temporary suspension and temporary decrease of custom rates for importation of certain goods, by December 31, 2021, upon a proposal of the Ministry of Foreign Trade and Economic Relations.
The Council of Ministers takes the temporary measure, at annual level, pursuant to the Law on Customs Tariff, for an aim at supporting domestic economy, its improved competitiveness and successful business making, including maintenance of the existing work places and new employment, which has an additional weight in the times of Covid-19 pandemics.
This year’s decision covered 63 tariff marks in sectors of textile, footwear, chemicals, and food processing and graphic industries, including power distribution. The goods covered by the Decision are materials and row materials considered as base materials, which BIH producers use in their own production of final products, in export production or use them as substitutes for imported products, and which cannot be purchased at domestic market in quantities and quality required for production of end-products.
The Ministry of Foreign Trade and Economic Relations will draw and provide the council of Ministers an annual report on application and effects of decisions on temporary suspension and temporary decrease of customs tariffs for certain goods.
DECISION TAKEN ON CISTOMS TARIFFS
The Council of Ministers of BIH took the Ministry of Foreign Trade and Economic Relations-proposed decision on defining customs tariffs for year 2022.
The customs tariffs were harmonised with the EU nomenclature, enabling more successful foreign trade operation between BIH and CEFTA countries, i.e. the EU member countries.
CoM GRANTS ITS CONSENT TO BIH TO GET CONENCTED TO EU DIGITAL COVID CERTIFICATES SYSTEM
The Council of Ministers of BIH granted its consent to the Ministry of Civil Affairs for showing interest for connection of Bosnia and Herzegovina to the EU digital system of Covid- certificates.
Previously, it took note of the Ministry of Civil Affairs-tabled piece of information on a need for finding a technical solution for verification of digital Covid-19 certificates in BIH.
The Ministry of Civil Affairs will organise a ministerial health conference to consider a possibility of harmonising the technical solution and legal framework for verification od digital Covid.19 certificates in BIH.
The Agency for identification Documents, Evidence and Data Exchange of BIH will be the holder of the technical solution.
The aim is to have the issued Covid-19 certificates internationally recognised in order to enable BIH citizens to travel smoothly to Euroep and world.
EU GRANT WORTH EUR 1.8 MIL. FOR 2022 SERBIA-BIH CORSS-BODER COOPERATION
The Council of Ministers of BIH defined a Proposal Agreement on Financing Serbia-Bosnia and Herzegovina Cross-Border Cooperation Activities 2014-2020 for year 2020, among the European Commission, Government of the Republic of Serbia and Bosnia and Herzegovina.
The EU contribution to the 2020 programme activities was EUR 1.8 million, out of total estimated EUR 2,117,647. The remaining EUR 317,647 will be secured by grant beneficiaries, mostly at lower levels of authority.
The programme covers 67 municipalities in BIH and 31 municipalities in Serbia. The aim of the programme is to advance social-economic development in the border areas of the two states.
The funds are aimed for cross-border employment projects, labour mobility, social and inclusion in the area of culture, environmental protection and tourism development.
The term of the agreement is 12 years - six years operative implementation from the date of effectiveness.
The earlier adopted Serbia-Bosnia and Herzegovina Cross-Border Cooperation Programme 2014-2020 was totally worth EUR 6,823,529, of which EU grant was EUR 5.3 million, and the difference was financed by the grant beneficiaries.
The Ministry of Finance and Treasury will provide the Proposal Agreement with Platform for its conclusion to the BIH Presidency for further procedure, and the Director of the Directorate for European Integrations will be the BIH signatory thereof.
HOSPITAL PROJECT IN REPUBLIKA SRPSKA CONTINUES
The Council of Ministers of BIH defined a Proposal Amendment 2 to a Finance Contract among Bosnia and Herzegovina (Borrower) and Republika Srpska and the European Investment Bank (Bank), concluded on December 28, 2016 in Sarajevo and December 17, 2016 in Luxembourg and Banja Luka, and exchanged on February 12, 2019 – Hospital Project in RS/B (Finance Contract), (Fi N 31.526 - SERAPIS 2010-0049).
Under the Amendment, the ultimate date of funds withdrawal is December 31, 2023.
The Financial Contract for the Hospital Project in Republika Srpska approves EUR 15 million.
The Proposal Amendment 2 with Platform for its conclusion will be provided to the BIH Presidency for further procedure, and the Minister of Finance and Treasury will be the BIH signatory thereof.
CoMBIH SUPPORTS BRČKO WATER SUPPLY PROJECT
The Council of Ministers of BIH defined a Proposal Loan Contract (green cities 2 -Window II Water Supply Brčko) between Bosnia and Herzegovina and the European Bank for Reconstruction and Development, worth EUR 6.5 million.
The project realisation will secure conditions for an improved operation of the existing water supply system in the town of Brčko and surrounding communities, and will create technical preconditions for its further extension.
The Water Supply Project in Brčko should be completed in three years. The Loan term is 15 years, including three-year grace period, and proceeds were allocated to the Brčko District of BIH. The project will be implemented by the Public Company “Komunalno Brčko”, Ltd. Brčko District of BIH.
The Ministry of Finance and Treasury will provide the Proposal Contract with Platform for its conclusion to the BIH Presidency, and the Minister of Finance and Treasury will be the BIH signer thereof.
OVER EUR 45 MILLION GRANT FROM EUROPEAN JOINT FUND FOR WESTERN BALKNAS FOR TWO PROJECTS AT CORRIDOR V c
The Council of Ministers of BIH defined two proposal grant contracts (Corridor V c in FBIH – part 3 – Subsections Paprikuša-Nemila and Tunnel Nemila Project) between Bosnia and Hertegovina and the European Bank for Reconstruction and Development, referring to investment grants from the European Joint Fund for Western Balkans Programme. The value of the grant for Sub-Section Paprikuše – Nemila is EUR 36,074,000 and for Ivan Tunnel the grant is worth EUR 9,180,000.
The grant will finance parts of project , namely, construction of 5.1 km long motorway section between Nemila and Paprikuša and construction of 2 km long Ivan Tunnel on motorway, according to international standards.
The grants will be allocated to the Federation of Bosnia and Herzegovina, and project implementation will be responsibility of the Public Company “Motorway of the Federation of BIH”.
The proposals of several grant contracts with platforms for their conclusion will be provided to the BIH Presidency, and the Minister of Finance and Treasury will the BIH signatory thereof.
EUR 51.5 MILLION LOAN AND USD 12.3 MILLION GRANT FOR WATER SUPLY IN RS AND FBIH
The Council of Ministers of BIH defined a Proposal Loan Agreement (Modernisation of Water Supply and Sanitation Services Project) between Bosnia and Herzegovina and the International Bank for Reconstruction and Development, worth EUR 51.5 million.
Out of the sum, Republika Srpska will get EUR 26,500,000 and the Federation of BIH will get EU 25 million.
The project is about modernisation of waters supply and sanitation sector in Republika Srpska and the Federation of BIH, and it concerns local communities and improvement of relevant service availability.
The loan term is 32 years, including seven-year grace period.
At the same time, a Proposal Grant Agreement for Single Donor Trust Fund - Modernisation of water supply and sanitation sector for Sonia and Herzegovina (Modernisation of water supply and sanitation services) between Bosnia and Herzegovina and the International Bank for Reconstruction and Development, acting as administrator of the Single Donor Trust Fund for the Modernisation of Water and Sanitary Sector for Bosnia and Herzegovina Project.
It is a grant worth USD 2.3 million, to support the Modernisation of Water and Sanitation Project, and funds were intended for Republika Srpska and the Federation of BIH in equal portions of USD 1, 150,000 each.
The aim of the project is to support Bosnia and Herzegovina in strengthening institutional capacities in Republika Srpska, Federation of Bosnia and Herzegovina and local level for improvement of water supply and sanitation services.
These two proposal agreements will be provided to the BIH Presidency for further procedure, with a proposal for the Minister of Finance and Treasury as the BIH signatory thereof.
ENDORSED TWO INITIATIVES FOR CORRIDOR V c MOTORWAY LOAN
The Council of Ministers of BIH adopted the Ministry of Finance and Treasury-proposed Initiative, and appointed a negotiating team for conclusion of a loan agreement between Bosnia and Herzegovina and OFID, for financing motorway construction on the Corridor V c, Vranduk-Ponirak section.
The loan for construction of 6.3 km long Vranduk-Ponirak subsection, a part of Nemila-Donja Gračanica section, is EUR 25 million, and it will be allocated to the Federation of Bosnia and Herzegovina.
The loan term is 14 years with four-year grace period.
An initiative of the Ministry of Finance and Treasury was endorsed and negotiating team designated for conclusion of a Loan Agreement between Bosnia and Herzegovina and Kuwait Fund for Arab Economic Development (KFAED) – construction of Nemila – Vranduk motorway sub-section on Corridor V c, worth EUR 21 million.
It is about an additional borrowing used to finance construction of the Corridor V c motorway, 5.7 km long section Nemila-Vranduk, which is a part of Nemila – Donja Gračanica section.
The funds will be used to cover land expropriation costs of total 92% of surface, which includes 35 housing objects.
The loan funds will be allocated to the Federation of BIH, and the project will be implemented by the Public Company “Motorways of Federation o BIH”, Ltd. Mostar.
The loan term is 20 years, with five-year grace period and 2% interest rate.
The Ministry of Finance and Treasury of BIH will, upon completion of negotiations, provide separate drafts loan agreements for consideration, in accordance with the Law on Borrowing, Debt and Guarantees of Bosnia and Herzegovina.
GREEN LIGHT FOR TWO LOANS FOR PROCURMENT OF FIVE TRAMWAY CARS AND DISBURDENING OF TRAFFIC CONGESTIONS IN SARAJEVO CANTON
The Council of Ministers of BIH adopted an Initiative by the Ministry of Finance and Treasury and designated a negotiating delegation for conclusion of a Loan Contract between Bosnia and Herzegovina and the European Bank for Reconstruction and Development (renewal of car pool of tramway traffic).
A loan worth EUR 10 million is intended for the purchase of five new tramway cars, which would increase capacity of the car pool to meet the real needs of the Canton Sarajevo users.
The investment will improve the quality of line transport for the benefit passengers, by introduction of European standards, with environmental protection and improved safety of the users.
Trams in Sarajevo transport over 43,000 passengers, who make about 20,000 travels.
The contract term is 15 years with three-year grace period and it is allocated to the Federation of BIH, Sarajevo Canton, and the end implementing agency is the Ministry of Transport of the Sarajevo Canton.
The session adopted an Initiative for negotiations for conclusion of an Contract (adaptive traffic management system) between Bosnia and Herzegovina and the European Bank for Reconstruction and Development.
It is about EU seven million worth loan for realisation of a project which includes procurement of a contemporary traffic management and surveillance system, including components of a smart priority management system of public transport, for system surveillance and incidents video-detection, based on the newest technologies. The project includes a development of management centre, in order to follow situation on roads and take appropriate measures for disburdening traffic congestions at certain cross roads or preventing incident situations.
Practically, due to the most modern sensor equipment, a complete traffic picture of the city will be available in real time, to benefit both citizens and visitors of Sarajevo.
The loan term is 15 years with three-year grace period and allocation to the Federation of BIH, Sarajevo Canton, and the final project implementation agency is the Sarajevo Canton Ministry of Traffic.
THREE AGREEMETNS RATIFICATION
The Council of Ministers of BIH defined several Ministry of Foreign Affairs-tabled proposal decisions on ratification of three agreements.
These are: the Agreement on Amendments and Supplements to Finance and Project Agreement, concluded on December 17, 2019 (original Finance and Project Agreement) between KfW, Frankfurt am Main (KfW), Bosnia and Herzegovina (Borrower), represented by the Ministry of Finance and Treasury, and Republika Srpska, represented by the Ministry of Finance of Republika Srpska and Ministry for Spatial Planning, Civil Construction and Ecology of Republika Srpska (Project Implementation Agency), in amount of EUR 10 million for energy efficacy of buildings; Agreement between the Council of Ministers of Bosnia and Herzegovina and Government of the Republic of Serbia on Joint Sites at Border Crossings; Annex to the Agreement on Joint Sites at Border-Crossings for Joint Site at Bratunac (new bridge) – Ljubovija (new bridge) border-crossing, and Agreement between the Council of Ministers of Bosnia and Herzegovina and Government of the Republic of Serbia on Border Crossings.
MINISTRY OF JUSTICE BUDGET’S km 1.8 MILLION FOR “STATE PRISON”
The Council of Ministers took the Ministry of Justice-proposed decision on reallocation of a part of 2021 budget resources from the Ministry of Justice budget to the budget of the Institute for Execution of Criminal Sanctions, Detention and Other Measures of Bosnia and Herzegovina, in total amount of KM 1.8 million.
The reallocation of budget funds will enable the Institute for Execution of Criminal Sanctions, Detention and Other Measures of BIH to fulfil regularly obligations from its scope of responsibilities.
The Proposal Annex VI will be provided to the BIH Presidency, with a proposal for President of the High Judicial and Prosecutorial Council of BIH Halil Lagumdžija was as the BIH signatory thereof.
The Annex VI to the Agreement between BIH and the Kingdom of Norway will start temporary application as of January 1, 2022.
“JUDICIARY QUALITY IMPROVEMENT” PROJECT CONTINUES
The Council of Ministers of BIH defined a Proposal Annex VI to Financial Agreement between the Council of Ministers of Bosnia and Herzegovina and Kingdom of Norway for Project benefitting judiciary and/or courts and prosecutor’s offices in Bosnia and Herzegovina, which enables the realisation of activities under the “Judiciary Quality Improvement” Project by the end of June 2022, instead of earlier planned December 31, 2021.
Earlier, the High Judicial and Prosecutorial Council of BIH sent a note on the procedure and process of conclusion of the Annex VI to the Financial Agreement concluded between Bosnia and Herzegovina and the Kingdom of Norway on financing the project benefitting the judiciary and courts/prosecutor’s offices in BIH.
The Proposal Annex VI will be provided to the BIH Presidency, and President of the High Judicial and Prosecutorial Council of BIH Halil Lagumdžija was set for the BIH signatory thereof.
A temporary implementation of the Annex VI to the Agreement between BIH and the Kingdom of Norway will start at on January 1, 2022.
POLICE OFFICERS’ APLEATION COMMITTEE ENABLED TO WORK
The Council of Ministers of BIH took the Ministry of Security-proposed Decision to appoint members of the Appellation Committee of Police Officers to a four-year term, after the term expired to the previous Committee.
Ministry of Security’s Samir Rizvo was appointed Chair of the seven-member Committee, and BIH Border Police’s Veljko Lazić was appointed his Deputy.
The Appellation Committee of Police Officers is responsible for decision taking on claims filled by police officers objecting decisions taken by police bodies of BIH in view of status of police officer or omissions of police body to take decision as to police officer status.
PIECE OF INFORMATION ON VACCINES AND ANTI-COVID-19 ASSITANCE
The Council of Ministers o BIH took note of a piece of information on procurement of vaccines against Covid-19 and grants, as a support to Covid-19 response, realised by the Ministry of Civil Affairs.
BIH received, via the Ministry of Civil Affairs, 1,859,750 vaccine doses, in time period between March 2 to September 7, 2021, and that included all three mechanisms, namely, Covax, EU4hHealth and grants.
Under the BIH Law on Medicines and Medical Resources, vaccines were distributed to responsible health institutions of the Entities and Brčko Distict of BIH in shares agreed to according to procurement mechanisms and vaccine packing by certain producers.
The piece of information gives a review of grants in medicines, medical resources, protective equipment, which all arrived via the Ministry of Civil Affairs by September 2021, as a support to Covid-19 response.
The report also contains data on 24 grants, with receiving institutions and distribution dates, which includes anaesthesiology ventilators, pulse oxiometres, medicines, tests and test sets, protective equipment, disinfection aids, cooling devices for vaccine storing . (end)