Resident representative of the International Monetary Fund in BiH Francisco Parodi said that the adaptation of the Stabilization and Association Agreement between BiH and the EU was not a precondition for the new arrangement with the IMF.
Parodi stated that the potential program with the IMF does not include a concrete condition related to the SAA.
“Broader aims of the program are entirely harmonized with the Reform Agenda that the institutions of authority adopted in 2015, with the support from international community,” Parodi said.
Parodi added that the situation with the arrangement could be saved if the letter of intent is signed in the next few days, but if the signing is postponed to a longer period, then the personnel of IMF and institutions of authority would most probably have to revise the macroeconomic scenario and negotiate about a new letter of intent.
“That process would take several months before the request for approval of a new program is sent to the Executive Board of the IMF,” Parodi said, adding that duration of the letter of intent is limited in time.
Postponing of the credit arrangement with the IMF was announced because the Prime Minister of FBiH Fadil Novalić and Chairman of the Council of Ministers of BiH Denis Zvizdić did not sign the already harmonized letter of intent for the IMF.
They conditioned their signature with the signing of the adaptation of the Stabilization and Association Agreement, which is inacceptable for officials from Republika Srpska.
(Source: akta.ba/photo: cnbc.com)
