eurosBosnia and Herzegovina failed to secure implement Sejdić-Finci ruling, human rights and electoral rights decision by the European Human Rights Court, and lost 45 million Euros in IPA funds. European Union deicide to slash funds for Bosnia and to transfer remaining part to Kosovo which will be used in infrastructure and development programs. Part of funds will be redirected to other parts of the region for housing projects. 

The 2009 Sejdić-Finci ruling told Bosnia to change its constitution and allow minorities run for top governing posts that are currently reserved for candidates from the three largest ethnic groups, Bosniaks, Serbs and Croats.

This situation will cost Bosnian people not only in this year but also over the next few years, because fear is that Bosnian government useless as it is will not be able to substitute this amount of money which was free and without significant interest from commercial banks. One leading politician, Republika Srpska President Milorad Dodik, said on Tuesday that his part of Bosnia would actually do exactly that and borrow money from commercial banks to implement already planned projects. His counterparts from Federation of Bosnia and Herzegovina, or from federal government, have not commented this recent development clearly unable to accept their own mistake and failure.

EU Deputy Director-General for Enlargement, Joost Korte, said on Tuesday in Bosnian capital of Sarajevo that Bosnian decision-makers has proved unable to agree on how to change the constitution (Sejdić-Finci) and, that for that reason, an efficient EU coordination mechanism could not be established.

joost-korte“Don’t underestimate the political consequences of this. These are clear signals to the leadership of this country that there is a consequence for failure to act”, said Korte. 

According to Mr. Korte, the 45 million euro that Bosnia lost from the 2013 Instrument for Pre-accession Assistance, IPA, was to assist parliaments, upgrade prison infrastructure, help small and medium sized enterprises and invest in transport. Another 40 million from this year’s assistance was left in use for Bosnia, to help the judiciary, combat money laundering, aid social inclusion in education, assist refugees and Roma and complete the postwar de-mining process.

Government inability to create functional coordination mechanism will cost Bosnia and Herzegovina in IPA funds approximately 80 million Euros annually. That’s how much it was planned and set aside to be transferred from European Union to Bosnia and Herzegovina.