Serb member of the BiH Presidency, Milorad Dodik, has stated that there is an incredible situation on the scene that BiH cannot use money from its own reserves, while Germany can do that.

For two days ago, Dodik pointed out that the Central Bank of Bosnia and Herzegovina had about BAM (Bosnian Mark) 15 billion in foreign exchange reserves, that the citizens of Bosnia and Herzegovina have no use of, which should be changed as a matter of urgency, and part of that money should be invested in the purchase of domestic bonds instead of foreign ones, which would significantly contribute to rehabilitating energy crisis and the preservation of the economy in Bosnia and Herzegovina.

Yesterday, Dodik explained to “Glas Srpska” that of the EUR 7.5 billion in foreign exchange reserves that BiH currently has, 5.5 billion were used to purchase bonds of German provinces and certain provinces in France, and some were also used for German bonds on federal level.

“In the last four or five years, we have been paying interest for what we keep in deposits. Instead of using that money to buy bonds of entities, cantons or Brčko District. They don’t allow us to do that. Why? So that Germany is cheaply financed with our money, and we took loans with commercial banks,” said Dodik.

He explained that with minimal changes to the existing Law on the Central Bank of Bosnia and Herzegovina, this solution could be reached, which would greatly help Bosnia and Herzegovina financially.

President of the Fiscal Council of Srpska, Milenko Krajišnik, says that part of the money from the existing foreign exchange reserves of the Central Bank of Bosnia and Herzegovina, which in fact “covers” the BAM, as regulated by the “currency board”, should certainly be used for the purchase of bonds on the local market.