When it comes to separate communication, the SDP takes the lead, as several prominent members sharply criticize the work of the coalition partners organized on the basis of two ethnicities, the Bosnian Serb SNSD and the Croatian HDZ BiH. His recent actions were particularly uncomfortable for his own party, the Social Democratic Party (Socijaldemokratska Stranka, SDP), as this position completely contradicted the coalition government’s stance, including that of his own party, regarding EU funds.Īlthough there haven’t been similar levels of communication discord among some players within the five-party government coalition in the past, and the government seemingly continued its work uninterrupted, strong figures within the coalition parties often make comments that indicate underlying tension. Regarding Bečirović’s stance against Dodik, it is worth noting that in previous years, he has repeatedly accused the top Bosnian Serb leader of separatist tendencies and violating the principles of the Dayton Agreement. This was because the member of the presidency asked the present EU representatives to impose further sanctions against Dodik, and he described the continuation of the disbursement of EU financial assets as a „terribly bad step.” Simultaneously with the announcement of the financial good news, Denis Bečirović, the Bosnian member of the Bosnia and Herzegovina Presidency, also held negotiations with members of the Western Balkans Working Group of the European Parliament in Brussels.īečirović’s participation in the meeting caused significant disruption within the communication machinery of the Bosnian government coalition. On the right, Elmedin Konaković, the Bosnian Minister of Foreign Affairs, plays the role of a helpful lobbyist, while on the left, Milorad Dodik, the president of the Bosnian Serb Republic, needs to be connected to a financial infusion
The importance of restarting EU programs is also reflected in Dodik himself expressing gratitude, in front of the press, to Elmedin Konaković, the Bosnian Minister of Foreign Affairs, for consistently keeping the issue of restarting frozen projects in the Serbian entity on the agenda during his visits to Brussels this year. The answer, according to many, is that this step was a significant gesture towards the Bosnian Serb region on the brink of international isolation and economic collapse.ĭodik, in turn, has only earned this by fulfilling the coalition agreement he made with the Croatian Democratic Community of Bosnia and Herzegovina (Hrvatska Demokratska Zajednica Bosne i Hercegovine, HDZ BiH) and the left-wing Bosnian party alliance known as the „troika” until now.
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This is because its impact does not generate enough additional GDP growth in the Bosnian Serb Republic to break free from the debt spiral. However, experts agreed that the influx of EU funds alone will not be sufficient to ensure the necessary growth for financing external debt. While the risk of technical bankruptcy is not discussed in Banja Luka, it can be assumed that the EU, in plain terms, „didn’t let Dodik off the hook” and resumed the disbursement of previously frozen financial assets.Īccording to experts knowledgeable in the Bosnian financial sector, the EU’s restart of programs has provided a lifeline to the otherwise grim state of the Bosnian Serb economy. In May of this year, several Bosnian newspapers reported that the leadership of the Bosnian Serb Republic could be in trouble if they do not find new external funding to finance their accumulated external debt. It was already known at the time of the halt in investments, mostly related to infrastructure development, that the Serbian entity, burdened by significant debt due to bonds issued on international stock exchanges, would not be able to compensate for the resulting shortfall from its own budget. The disbursement of EU funds intended for the Bosnian Serb Republic had been suspended since February last year, as the EU Commission sought to exert pressure on Dodik’s Independent Social Democrats Alliance (Savez Nezavisnih Socijaldemokrata, SNSD) due to their secessionist tendencies.Īlthough the European Union did not impose sanctions on Bosnian Serb political leaders at that time, the Commission ordered the freezing of all projects receiving EU support.
Milorad Dodik, the president of the Bosnian Serb Republic, achieved a significant result on Friday, as the EU revoked the suspension of EU-funded development projects in the Serbian entity.
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