BiH founded its first Central Bank as a sovereign state in 1997, and its mandate is to conduct monetary policy in the whole country under the arrangement known as the “currency board”, which is guaranteed by the Constitution of BiH.
“The most important summary for these 20 years is that we have grown into a credible institution, we are taking care of monetary policy, and we contributed to stability,” said Senad Softic, Governor of the Central Bank of BiH.
He stated that the Central Bank took full participation in the process of European integrations and that they responded to the part of the Questionnaire that was intended for them among the first ones.
“The banking sector is profitable, we are recording an increase in loan activity, the fall of low-quality loans and the fall in interest rates was recorded as well,” said Governor of the Central Bank of BiH.
He also stated that the growth of GDP was recorded in BiH, as well as a decrease in unemployment, while the public debt is at the allowed level.
On the topic of how much we are indebted, he said: “We are indebted for 12 billion BAM as a country and the indebtedness is decreased by 50 million in comparison to last year. External debt repayment is not in the question.”
He also added that indicators show that citizens of BiH are indebted, but that commercial banks are doing their job well, which is to assess whether that citizen can repay the loan.