Bosnia and Herzegovina (BiH) has lost 108.5 million euros from the Growth Plan for the Western Balkans because the authorities did not submit a finalized and harmonized Reform Agenda by the end of June, it was confirmed yesterday by the Delegation of the European Union (EU) in BiH. The revised package now amounts to 976.6 million euros, and a further reduction threatens if the reform document is not submitted by September 30th.
“The Growth Plan offers the possibility of earlier integration of BiH into the single European market, which would bring numerous benefits to the economy, including access to billions of euros in support. To take advantage of this opportunity, BiH must implement a series of reforms set out in the detailed Reform Agenda,” stated the EU Delegation.
As they note, the European Commission applies the rule of automatic reduction of funds after the expiration of the so-called “grace period” in the implementation of reforms. After the first reduction of ten percent, another one of the same amount will follow if BiH does not submit the document by the end of September.
The European Commission expects the final, consolidated version of the agenda to arrive without further delays, after which it will be sent to EU member states for review and approval.
It should be recalled that two days ago, it was announced that other Western Balkan countries had submitted their reform agendas last year, while BiH had already been penalized once for delays.
Political blockades, especially the dispute between the Coalition of the Three parties and the HDZ, and the priorities of the SNSD that are not related to EU integration, have led to a halt in key reform processes.
The Growth Plan is valid until 2027, and the EU states that after that period, there will be no extension of deadlines.
