The internal debt of the Federation of Bosnia and Herzegovina (FBiH) is growing rapidly, driven by the increasing borrowing of the Federal Government on the Sarajevo Stock Exchange.
The total internal debt managed by the Federal Ministry of Finance as of December 31st, 2024, amounted to 1.406.220.206 BAM, of which the debt from securities amounts to 1.405.233.964 BAM.
In the fourth quarter alone, when eight securities auctions were held in the amount of 393 million BAM, the debt increased by 34.9 percent compared to the previous quarter. Of the debt from securities at the end of last year, 1.285.233.964 BAM of debt was from bonds and 120.000.000 BAM from treasury bills. The debt from treasury bonds at the end of last year amounted to 1.283.000.000 BAM, while 2.233.964 BAM relates to debt from war claims bonds.
The Government is rapidly borrowing through debt securities this year as well, with total borrowing amounting to just under 180 million BAM. With a recent bond issue on April 15th, it borrowed 50 million BAM, previously on April 8th, there was a borrowing of 39.6 million BAM through treasury bills, before that on March 15th, 50 million BAM in bonds, and on March 4th, 39 million BAM through treasury bills.
According to the indicative borrowing plan of the FBiH Government on the stock exchange for this year, borrowing of 500 million BAM is planned, 200 million BAM through treasury bills, and 300 million BAM through bonds. It should be recalled that the total internal debt of the Government of the FBiH as of December 31st, 2022 amounted to 682.630.075 BAM, which means it increased by more than 720 million BAM in two years.
