Key reforms of the financial sector in BiH will be supported with the new loan of 56.6 million EUR, which the World Bank approved.
“A project of strengthening the banking sector will help BiH to improve the regulation and supervision of banks, to overcome weaknesses in the banking sector, to establish a framework for the restructuring of banks and further strengthen the management and operations of the entity development banks,” as announced by the World Bank.
“Maintaining the stability of the financial sector is a basic condition for macro-financial stability, which is then a precondition for economic growth,” said Tatiana Proskuryakova, head of the Office of the World Bank in BiH and Montenegro. “Through this project, the World Bank will provide advisory and financial support for maintaining the stability and development of the financial sector in BiH, which will be beneficial for our citizens”.
This project was designed to ensure that the proposed activities in the banking sector are fully complied between the entities, thus creating a unique environment for operations of banks. This will provide stability, transparency, and predictability for banks and their supervisory authorities, and create a more stable and resilient financial sector that will be beneficial for businesses and citizens.
Complementary technical assistance was secured through the Financial Sector Advisory Center of the World Bank from Vienna (FinSAC), together with the support of the British Embassy in Sarajevo.
The portfolio of active projects of the World Bank in BiH includes 12 projects whose value amounts to 557 million USD. Areas that will get the support are transport, employment, energy efficiency, local infrastructure, environment, forestry and water management.
(Source: klix.ba)
