The deficit of Republika Srpska last year was 22 million marks higher than shown. This is what the Main Audit Service found, which is why it issued an Opinion with a reservation on the Consolidated Annual Report for users of the entity budget for last year.
The budget deficit of the Republika Srpska at the end of the past fiscal year amounted to 320 million BAM. In the annual financial report, the Government, however, reported a smaller deficit, which was also pointed out by the Main Audit Service, giving an Opinion with a reserve for financial compliance.
“The total deficit stated in the Periodic Report on the execution of the budget in the amount of 300,555,433 BAM needs to be corrected to more by 22,209,469 BAM, based on the less stated deficit in the Report on the execution of accounting funds in the amount of 22,010,893 BAM and less stated of current expenditures on fund 02 in the amount of 198,576 BAM”, stated the Main Audit Office.
The total deficit of budget users is even higher if the minuses achieved by local self-government units are added to it, warns the president of the Audit Committee in the National Assembly of the Republika Srpska. In addition to the fact that the deficit was reduced by 22 million BAM, the audit also revealed other failures, including failures in the spending of funds intended for public investments.
“Of the 91 million allocated to the project holders, only 61 million is justified in some way, and 30 million is absolutely not justified. The Government also allocated funds to suppliers and contractors, but also directly to the accounts of the project holders”, says Mirjana Orašanin, president of the NSRS Audit Committee.
The situation with the level of deficit, our interlocutor emphasizes, shows that the level of consumption of public funds must be stopped and the government must deal with savings.
“According to the Law on the Budget of the RS, local municipalities and the debts incurred by them in that year are not included in the total amount of the deficit. It would be even higher if it were included. But what is important to say is that this amount is practically 10 percent of the budget having a deficit of unpaid bills, outstanding obligations at the level of 10 percent per year of a country or entity is unacceptable,” says economist Zoran Pavlović.
The deficit has been covered by debt for years. However, such a situation is repeated by our interlocutors, it only further increases the minuses in the budget, BHRT writes.