FBiH ENTITY GOVERNMENT HELD A SESSION

SARAJEVO, Bosnia (September 21,2007) – The FBiH entity government considered the Draft Policy of Privatisation in Bosnia, which was prepared by the FBiH Entity Privatisation Agency.

This document describes the policy for privatising state capital in Bosnia and defines objectives that need to be reached in order to achieve maximal benefit for the state and its citizens.

Achieving significant revenues from the sale of a part of state capital and directing those funds towards strategic and development programs in accordance with a special program of the FBiH entity government are among the chief objectives identified by the policy.

“We can roughly expect the sale of state capital to ensure 4 billion Bosnian Marks for investment”, the FBiH Entity Prime Minister Nedzad Brankovic told a press conference.

The policy lists companies in which the state currently owns a portion of capital and provides an analysis of possible privatisation scenarios and investment potential.

Brankovic added that they have defined sectors which will be given priority in the development of programs. He confirmed that the policy also covers the privatisation of the telecom sector.

This process should also contribute to the liberalisation of the economic space in the FBiH entity. The document will be amended with suggestions from the debate, as well as programs of certain FBiH Entity Ministries. The the FBiH entity government will consider this document as a whole before it is forwarded to the FBiH parliament.

The FBiH entity government gave approval for the Decision of the Ministry of Energy, Mining and Industry on the allocation of funds intended for stimulating production and restructuring the sector of industry and mining. A total of 9.885.000 Bosnian Marks will be distributed to 77 users in the FBiH entity.

The the FBiH entity government also approved the allocation of budget funds for two projects in the tourism sector. 30.000 Bosnian Marks has been approved as support for the presentation of Bosnia at the World Tourist Fair in London, while 10.000 Bosnian Marks has been approved for the “Golden Tourist Rose” as the closing event of the World Tourism Day in Bosnia.