Sjednice

Council of Ministers of Bosnia and Herzegovina Holds Its 77th Session

Sjednice

04/22/2025

DEFINED CORRECTED DRAFT BUDGET 2025: FUNDS SECURED FOR IMPLEMENTATION OF ARBITRAGE AWARD IN VIADUCT CASE 

The Council of Ministers of BIH defined by majority vote a corrected Draft Law on Budget of Institutions of Bosnia and Herzegovina and International Obligations of Bosnia and Herzegovina for 2025, in accordance with its 76th session of April 15, 2025, for the aim of implementation of a arbitrage award in case “Viaduct, Ltd. Portorož and others” vs Bosnia and Herzegovina.

The Ministry of Finance and Treasury will pass the corrected Draft Budget 2025 to the BIH Presidency, authorised for proposing it to the Parliamentary Assembly for final adoption. The Council of Ministers of BIH has withdrawn earlier defined Draft Budget and called both the BIH Presidency and Parliamentary Assembly of BIH to adopt the Draft Law on Budget urgently, for the aim of prevention of further adverse consequences to property interests of Bosnia and Herzegovina.

The Ministry of Finance and Treasury will pay KM 110,169,862.95, planned under Direct Transfers from the Single Treasury Account – Payment as per court awards – within 15 days from the day of taking effect of the Law on Budget of Institutions of Bosnia and Herzegovina and International Obligations of BIH for 2025, and within seven day at latest from the day of payment from the Central Bank of BIH.

The Budget Framework for financing of Institutions of Bosnia and Herzegovina for 2025 remained the same, KM 1,570,500,000, as in the Draft Law on Budget of Institutions of Bosnia and Herzegovina and International Obligations of BIH for 2025, as defined at the 72nd session of the Council of Ministers of BIH.

The Council of Ministers of BIH corrected the Draft Budget so as to start implementation of the arbitrage procedure, where Bosnia and Herzegovina is the executor, which will enable staring a regress claim and final reimbursement of damage from Respublika Srpska.

Bosnia and Herzegovina became the executor as the Government of Republika Srpska has lost a dispute with the claimant  in case “Viaduct”, following which it failed to pay the dept to the claimant despite a signed-to 2017 Agreement with the Council of Ministers of BIH, committing itself to fulfil unconditionally all its payment obligations against the arbitration award, on behalf of Bosnia and Herzegovina, upon receipt of the BIH Chief Prosecutor’s documented request.

CoMBIH SECURES MONEY FOR SMOOTH OPERATION OF BHANSA

The Council of Ministers of Bosnia and Herzegovina considered a proposal decision on temporary financing of costs of the Air Navigation Service Agency (BHANSA), in accordance with its conclusion from the 76th session of the Council of Ministers of BIH, for the purpose of implementation of an arbitrage award in case “Viaduct, Ltd .Portorož and Others vs Bosnia and Herzegovina”, and concluded the following:

Upon the proposal of the Ministry of Communications and Transport, a decision was taken on funding costs of the Air Navigation Service Agency (BHANSA) on temporary basis, starting from the end Q3 2025, for the aim of securing its uninterrupted operation and removal of obstacles for its operation.

The operation problems were caused by freezing revenues made from overflights that the Agency receives from EUROCONTROL, due to an enforcement procedure started by the “Viaduct, Ltd. Portorož” upon an arbitrage award by ICSID Tribunal, after the Government of Republika Srpska lost its dispute with the claimant and failed to meet the payment obligations it assumed.

Under the Decision, the Agency will be secured KM 60,108,155, corresponding a maximum expenditure of BHANSA planned under relevant 2025 Financial Plan, adopted by the Council of Ministers of BIH.

The Ministry of Finance and Treasury should transfer funds to ANSA as per its monthly request, in accordance with expenditures planned under the adopted Financial Plan and in line with previous execution.

The funds will be considered a borrowing because these will be turned back to the Single Treasury Account, after EUROCONTROL funds get unblocked for ANSA financing.

The Chief Prosecutor’s Office of BIH should take all actions to protect property interests of Bosnia and Herzegovina, in accordance with the 2017 Agreement concluded by the Council of Ministers of BIH and Government of Republika Srpska, which committed to fulfil unconditionally all its obligations against the arbitrage award, on behalf of Bosnia and Herzegovina, upon a receipt of documented Chief Attorney’s request.

SUPPORT TO FINALISATION OF DEVELOPMENT OF CULTURE-SPORTS CENTRE IN MOSTAR

The Council of Ministers of BIH defined a Proposal Framework Finance Agreement between the Council of Europe Development Bank (CEB) and Bosnia and Herzegovina for INTEGRA Culture-Sports Centre in Mostar with GSIF Investment Grant , along with a Platform for the conclusion thereof.

The Ministry of Finance and Treasury-proposed conclusion of the Agreement will enable realisation of the second phase and finalisation of development of a culture-sports centre in Mostar, improving social and multi-ethnic cohesion, though promotion of sports and culture, and affirm the city of Mostar as a regional centre of sport and culture events in Bosnia and Herzegovina.

Within the project, a development of a multi-purpose hall of 5,000 seats capacity, with 50 places for chairs for disabled, an open square leading to the hall entrance, while auxiliary parts include dressing rooms, places for coaches, offices and exhibition space of sports and cultural associations.

The Framework Financial Agreement covers CEB loan funds in amount of EUR 12,000,000 and CEB grant funds in amount of EUR 1,500,000.

The loan will be allocated to the Federation of BIH, and end beneficiaries are more than 16,000 citizens of the City of Mostar and its surrounding, particularly culture and sports federations, sports clubs, schools and universities. The financial provisions for the approved loan will be negotiated with the creditor along with tranches withdrawal.

The Proposal Framework Finance Agreement with Platform for its conclusion will be sent to the BIH Presidency for further procedure, and the Minister of Finance and Treasury of BIH was proposed for the BIH signatory thereof.

AMENDED DECISION ON VISAS

The Council of Ministers of BIH took the Ministry of Foreign Affairs-proposed decision on amendment of a Decision on Visas.

This introduces an obligatory visa for entrance, exit, transit and stay of citizens of the State of Kuwait in Bosnia and Herzegovina, starting from October 1, 2025, in accordance with an assumed obligation of gradual harmonisation with visa policy of the European Union.

A 30-day long non-visa regime is still in force for citizens of the Kingdom of Bahrein, Sultanate Oman, Kingdom of Saudi Arbia during touristic season, from June 1 to September 30 in a calendar year.

TO SOLVE SYSTEMATIICALY ISSUE OF ANNULMENT OF EU LIMITATIONS TO TRANSPORTERS FROM BIH AND COUNTRIES OF REGION

The session tasked the Ministry of Communications and Transport to send a report to the Council of Ministers within three days on actions taken for realisation of earlier conclusion of the Council of Ministers of BIH for exception of BIH transporters from EU rules of residence.

Based on the requested piece of information, the Council of Ministers of BIH will summon all Prime Ministers of the region to act jointly towards removal of limitation to transporters, now set to maximum 90 days within 180-day period, which disables their work, urging a systematic solution.

The Council of Ministers of BIH will continue, through competent Ministries, bilateral talks with the European Union officials and with those of EU member countries, primarily the Republic of Croatia and Republic of Slovenia, as key countries for entrance the Schengen zone, all the more for the Schengen rules call for flexibility in view of cross-border workers.

PIECE OF INFORMATION ADOPTED ON DEVELOPMENT OF ATTACHMENT OF BIH INSITTUTIONS FOR REGULAR ANNUAL REPORT ON BIH

The Council of Ministers of BIH adopted the Directorate for European Integrations-tabled piece of information on development of an Attachment by Institutions in Bosnia and Herzegovina to a regular anal report on Bosnia and Herzegovina on implemented key measures and activities in August 1, 2024 – March 15, 2025 time.

The Directorate for European Integrations of BIH should provide the document to the European Commission, including additional pieces of information, as appropriate.

The attachment by BIH Institutions is a document containing a review of exclusively implemented measures, relevant to the European integrations process and improvement of the system functionality. Relevant pieces of information were collected from all-level authorities, pursuant to the existing practice. The European Commission publishes the annual report on Bosnia and Herzegovina within the Enlargement Package, and the Package for 2025 is expected to be published this autumn.

DETAILED EXPLANATION FOR INCREASED VALUE OF MULTI-ANNUAL PROJECTS

The Council of Ministers of BIH took the Ministry of Finance and Treasury-proposed Guidance on Amendments and Supplements to a Guidance on planning, approving and implementation of multi-annual projects in Institutions of Bosnia and Herzegovina.

This annuls a limitation as to increase of value of multi-annual projects and the structure thereof, and a provision remains as a control mechanism for increased value of project needs to be accompanied by a detailed explanation and agreement with the Ministry of Finance and Treasury. The Amendments and Supplements to the Guideline in view of delete of limitations to maximum 10% of total value of the multi-annual project is a consequence of negative inflationary trends, and considerable price rise due to which certain projects are impossible to implement with earlier approved project value and 10% increase.

BIH AND REPUBLIC OF CROATIA STRENGTHEN THEIR COOPERATION IN BORDER-CROSSINGS AND CROSS-BODER TRAFFIC

The Council of Ministers of BIH took the Ministry of Security-proposed Decision on appointment of BIH representatives to a Joint Committee for Implementation Monitoring of both a Contract on Border-Crossings and Agreement on Cross-Border Traffic between Bosnia and Herzegovina and the Republic of Croatia.

The Joint Committee includes, on behalf of Bosnia and Herzegovina, representatives from the Indirect Taxation Administration, Ministry of Foreign Affairs, Border Police, Veterinary Office and Phytosanitary Administration of BIH, as members and alternate members.

PULIC JOB VACANCY AD FOR ITA EXPERT MEMBER

The Council of Ministers of BIH took the Ministry of Finance and Treasury-proposed Decision on publishing a public ad for selection and appointment of a member of the Indirect Taxation Administration (ITA) Steering Board from among experts.

The Ministry of Finance and Treasury should publish the text ad in one of daily papers, “Official Gazette of BIH”, and “Official Gazette of the Brčko District of BIH”, in accordance with the Law on Ministerial Appointments, Appointments of the Council of Ministers and Other Appointments in Bosnia and Herzegovina.

The Council of Ministers of BIH appoints the ITA Steering Board member to a five-year term, based on a proposal from the Ministry of Finance and Treasury, while relevant procedure committee implements the selection procedure based on 2024 Decision on Criteria for Selection and Appointment of ITA Steering Board member.

PIECE OF INFORMATION ADOPTED ON MIGRATIONS SITUATION IN BIH IN 2024

The Council of Ministers of BIH adopted a piece of information from the Ministry of Security on situation n migrations in Bosnia and Herzegovina in 2024.

According to the piece of information, foreigners in Bosnia and Herzegovina were approved 14,909 temporary stays last year, namely, 6,256 for the first time and 8,653 extended temporary stays, among which most of those for work either with or without work permit, for family reunion, and education purposes. Over this time span, total 430 permanent stays were approved, mostly to citizens of Croatia, Montenegro, Austria and Turkey.

The Foreigners’ Affairs Service was reported 25,284 illegal migrants, less for 26% relative to 2023, when 34,409 illegal migrants were reported. Number of migrants was declining in continuity each month last year. The number of illegal migrants last year relative to the year before was tripled among those originating from Egypt and Syria, while three times less migrants were reported coming from Afghanistan.

The number of asylum seekers has increased for the first time since 2020, and filled were 234 applications, more for 59% relative to 2023.

In illegal border crossing or attempted illegal BIH border crossing in 2024 detected were 11,294 individuals, or 17% less then in 2023. The most detected individuals were citizens of Syria, Turkey, Afghanistan, Morocco and Pakistan. In 91% cases migrants were detected out of border-crossing areas.

A measure of expulsion from BIH territory was declared for 3,240 foreigners, while 1,711 individuals were covered by a surveillance measure, 750 by cancellation of stay, and visas were annulled for 185 foreigners.

TO IMPROVE INCLUSION OF PUBLIC IN TAKING PUBLIC POLICIES AND REGUALTIONS

The Council of Ministers of BIH adopted the Ministry of Justice-tabled 2024 Report on implementation of consultation rules in development of legal regulations, which suggests that an e-Konsultacije platform was built-up in early last December, facilitating its use.

Research conducted among 56 institutions of BIH, including all State-level Ministries, proved still small number of respondents to consultations or supplied comments or proposals, thus recommending further promotion of the e-Konsultacije platform, including education of public on way of participation, for the aim of increased inclusion of interested public in processes of taking public policies and regulations at Bosnia and Herzegovina level. Total 68 institutions were registered with the e-Konsultacije platform, and 517 consultations were conducted  in development of legal regulations and other acts, and 420 consultation reports were published last year.

All BIH institutions registered at the e-Konsultacije web platform appointed their coordinators and deputy coordinators for consultations - total 127 - and 458 moderators. The e-Konsultacije registered in 2024 total 3,533 legal and natural persons, which is a slight increase relative to 2023, when 3,460 were registered.

CONSENT TO APPOINTMENT

Upon a proposal of the Ministry of Foreign Affairs, the Council of Minister of BIH granted tis consent to appointment of Colonel Peter Sevcuja to the post of a Defence Attaché of the Czech Republic for Bosnia and Herzegovina.

BIH OMBUDSMEN FOR HUMAN RIGHTS REQUIRE AMBER ALERT SYSTEM IN FBIH AND BRČKO DISTRICT

The Council of Ministers of BIH took note of a recommendation of the Institution of Ombudsman of Bosnia and Herzegovina for setting-up an urgent public alert in case of child disappearance (Amber Alert) in the Federation of Bosnia and Herzegovina and Brčko District of BIH.

BIH Ombudsmen requested, by a recommendation from the Federal Ministry of Interior and Police of the Brčko District of BIH, taking of additional efforts for establishment of an urgent alert system in case of a child disappearance in the Federation of BIH and Brčko District of BIH.

The Council of Ministers of BIH and Directorate for Coordination of Police Bodies of Bosnia and Herzegovina were urged to provide necessary support to responsible bodies in the Federation of BIH and Brčko District of BIH in the process of establishment of an Amber Alert system. (end)

Link for Photos:

https://www.flickr.com/photos/vijeceministara/albums/72177720325306530