EC EXPRESSED SATISFACTION WITH EFFORTS OF BOSNIA ON ENSURING FISCAL COORDIANTION

SARAJEVO, Bosnia (October 19,2007) – The Bosnian state officials and the European Commission (EC) representaatives held a meeting in Sarajevo . The meeting discussed the establishment of a fiscal council at the Bosnian state level, the adoption of the state law on the fiscal council, the allocation of revenues from the single account and the Bosnian economic-fiscal program.

The Bosnian Deputy Finance Minister Fuad Kasumovic told journalists after the meeting that the meeting received the support of practically all political options in Bosnia, and that the representatives of the European Commission expressed satisfaction with efforts of Bosnia on ensuring fiscal coordination.

“The law on the fiscal council is in the form of a draft and we hope that the Bosnian government will consider it at one of its next sessions. We have the support of all sides for this law. The council will be consisted of the three prime ministers and three ministers of finance who will perform many of the duties that the Bosnian Indirect Taxation Authority is now performing. We today achieved 90-percent agreement that we will be able to resolve in the coming months the issue of the allocation of revenues from the single account for a mid-term period “, Kasumovic said.

He added that Bosnia is prepared to present an insight to Brussels by December 1 its economic-fiscal program for next year.

Head of the Bosnian Directorate for European Integration Osman Topcagic said that this economic-fiscal program will be further discussed at the next dialogue between the European Commission and Bosnia in spring next year.

Head of the Department with the European Commission’s General Directorate for Economic and Financial Affairs Peter Grasman said that the European Commission is interested in fiscal coordination in Bosnia and that it will constantly monitor progress in this field and be in constant contact with the Bosnian authorities.

“All participants in the today’s meeting have agreed that fiscal coordination in Bosnia needs to be strengthened and this will certainly lead to the strengthening of the fiscal council”, Grasman said.