WORLD BANK URGES BOSNIA TO GIVE EQUAL IMPORTANCE TO ECONOMIC REFORMS AND INFRASTRUCTURE INVESTMENTS

SARAJEVO, Bosnia (February 11,2008) - The World Bank has recommended to to the Bosnian government to treat economic reforms as important as infrastructure investments in its public investment strategies.

In the latest issue of the World Bank quarterly Economic Newsletter,the World Bank underlines the need for transparent and carefully planned public investments in Bosnia in support of economic development and growth.

Given the already high share of contributions for healthcare and education, the World Bank analysts do not consider a proposal for using privatization revenues in education, healthcare and utility infrastructure as optimal.

They also emphasize that public investments in infrastructure need to be accompanied by other measures for improving the business environment in Bosnia. Otherwise, effects will be short-term,the World Bank said.