FBiH Government adopts Economic and Fiscal Policy Guidelines for 2021/2023

FBiH Government adopts Economic and Fiscal Policy Guidelines for 2021/2023

SARAJEVO, June 5 (FENA) – The Government of the Federation of BiH adopted today at the session the Economic and Fiscal Policy Guidelines of the Federation of BiH for the period from 2021 to 2023.

The main feature of FBiH fiscal policy in this period is primarily reflected in the implementation of economic recovery measures after the COVID-19 pandemic and the continuation of previously undertaken activities to combat the gray economy, create a more favorable and stable business environment, increase domestic and foreign investment, and stimulate economic growth, increasing fiscal space and, ultimately, supporting the country’s long-term macroeconomic stability. As in previous years, all reform processes in this area are primarily focused on approaching European Union standards.

In order to achieve better legal solutions in the Federation of BiH, it is planned to review the situation in the field of property taxation, which is currently regulated by a total of 20 legal acts at the cantonal level.

The Interactive Register of Taxes and Fees in FBiH, which provides transparency and accessibility to all relevant information in this area, both for taxpayers and processors, proposers and policy makers at all levels of government in the Federation of BiH, will receive a web application format in the coming period. The Law on the Unified Register of Taxes and Fees in the FBiH has also been proposed, which is in the parliamentary procedure.

Challenges of preventing the gray economy and tax evasion, and establishing greater tax discipline, impose an obligation to strengthen inspections and improve their coordination and communication, the Guidelines stated.

The deputies at the session also adopted the Economic Policy of the Government of the Federation of Bosnia and Herzegovina for the period 2020-2022. The adoption of this document is an obligation under the FBiH Budget Law.

Economic policy for the period 2020-2022 was done in 2019, which recorded the growth of the economy of the Federation of BiH above the European Union average.

In addition to the FBiH Institute for Development Programming, all FBiH ministries participate in the development of the Economic Policy, which, within their competencies and in accordance with the strategic goals of the departments, define policies within the competence of the ministries.

The priorities of the FBiH Government in this period will be focused on projects to intensify economic development, strengthen the internal social stability of the Federation of BiH and the rule of law, as well as initiate and implement reforms in line with the needs of Bosnia and Herzegovina. The FBiH Government, in co-operation with other levels of government in BiH, will work on Euro-Atlantic integration to ensure a long-term sustainable system that will make the FBiH more competitive, the Press Office of the FBiH Government announced.