In the first two months of this year alone, the Administration for Indirect Taxation (UIOBiH) registered 1.75 billion marks, which is 187 million BAM more than in January and February 2023. 325 million BAM was returned to the economy through the VAT refund, 167 million BAM to the state, 772 million BAM to the FBiH, 431 million BAM to the RS and 43 million BAM to the Brčko District.
While incomes are growing rapidly in everyday life, through a better life for citizens or significant investments, the effects of surpluses accumulated through price increases are not visible.
Prices are rising
“The government will still do nothing to return part of it to the citizens, and we are witnessing that prices continue to rise. Limiting the margin or locking in prices are of no use, the social card would also be useful if part of the money was returned to the people in order to preserve purchasing power. This is how there are more and more people in front of containers and public kitchens,” says economist Svetlana Cenić.
She adds that social differences are increasingly pronounced, so in Bosnia and Herzegovina in society we have those who earn enormously, those who leave and those who barely survive, but are silent.
UNSA Faculty of Economics Professor Muharem Karamujić believes that BiH does not have a significant real growth in tax revenues, because those from inflation are a “nominal fog”.
Lack of funds
“I think we have a lack of funds in real terms, which means that people can buy less goods and services, and if we didn’t have the diaspora with about 6 billion to fill those “holes”, it would be a horror. We also have these politicians of ours who are very ineffective, some are not even benevolent, so whatever funds come in, they are spent on non-productive purposes and the situation is not good at all,” adds Karamujić.
He warns that the situation is further complicated by the growth of wages, budget spending and the strengthening of the state sector, which not only does not help but also hinders the economy with around 3,500 parafiscal levies.
1.75 billion marks was registered by the IIOBiH for the first two months of this year, Akta reports.
