The Government of the Canton Sarajevo (CS) has determined the Draft Budget of the CS for 2026 in the amount of 1.9 billionBAM.
The proposed budget, as stated by the Government, is designed with the aim of preserving the fiscal stability of the CS, continuing the implementation of capital projects, orderly fulfillment of social obligations, and stable financing of cantonal functions.
“The 2026 budget reflects our intention to preserve the economic stability of the Canton, with a strong development component. The key priority was to establish a balance between social sensitivity and the continuation of capital infrastructure investments. We are continuing with the subsidization of kindergartens, ensuring free public transport, and the reconstruction and equipping of schools. We particularly single out the construction of a new primary school in Stup, the Ars Aevi Museum of Contemporary Art, the completion of the University Library, and the renovation of the façade of the National Theatre,”emphasized the Prime Minister of the CS, Nihad Uk.
He notes that 2026 will be marked by major completions, but also by new development beginnings.
“Our focus remains on the transformation of transport infrastructure, the commissioning of the railway line to Hrasnica, and the opening of the Kobilja Glava tunnel. Along with investments in the communal sector, we are turning Sarajevo into a metropolis that develops according to the needs of all its citizens. This budget is a tool through which we ensure quality public services, support to the economy, and security for all,” he said.
As explained, the largest share on the revenue side of the budget consists of tax revenues, while the revenue structure of the budget is based on stable sources of financing, primarily revenues from indirect taxes and personal income tax. In addition, the budget also includes non-tax revenues as well as current transfers and donations.
On the expenditure side, special focus has been placed on capital projects and investments, as well as on ensuring continuity in financing public functions and services. Significant funds are also planned for servicing internal and external debt, alongside the strengthening of fiscal discipline and orderly settlement of obligations.
The draft budget also envisages an increase in the base for calculating salaries of employees in the public sector by five percent, thereby continuing the policy of preserving the living standard of employees, while respecting budgetary possibilities.
“The focus is on reducing previously assumed obligations, stable servicing of debt, and preserving fiscal balance, while at the same time maintaining the Canton’s investment activity,” said Finance Minister Afan Kalamujic.
The Draft Budget will be considered by the Assembly of the CS at a session scheduled for December 29th, 2025.
