Bosnia cabinet approves interim financing for 4th quarter due to lack of budget

Bosnia's central government approved on Thursday 237.5 million marka ($133 million) in temporary financing for the fourth quarter after the country's tripartite inter-ethnic presidency had failed to approve the 2019 state budget. Nearly one year after a general election, the government is still working in a caretaker capacity because political divisions have made it impossible to form a new cabinet.

The decision was made in a telephone conference because the caretaker cabinet could not convene due to lack of a quorum, the government said in a statement. The $132.7 million in quarterly financing was the same as for the previous three quarters.

The main disagreement between the Serb, Croat and Bosniak members of the tripartite presidency is over whether Bosnia should pursue NATO membership. While the Bosniak main party, advocating NATO integration, is halting the formation of a new central cabinet, the Serb and Croat parties are blocking the work of the national parliament, thus halting the implementation of about 1 billion euros ($1.1 million) worth infrastructure projects.

Bosnia is made up of two autonomous regions - the Serb Republic and the Federation dominated by Bosniaks and Croats - which are linked via a weak central government. The Serb Republic has formed a new government but the Federation, where no political party or coalition won a clear majority, is still struggling to form its own government. (1$=1.790 Bosnian marka) ($1 = 0.9105 euros)

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