According to the FBiH Ministry of Finance, the Federation of Bosnia and Herzegovina (FBiH) 's total debt as of September 30, 2024, amounted to 2.28 billion Bosnian marks (approx. €1.14 billion). This represents a significant reduction of 511 million marks (some €250 million) compared to December 31, 2022, when the debt stood at 2.79 billion marks (some €1,39 billion).

The debt-to-GDP ratio has fallen to a record low of 7.17%, as highlighted by Toni Kraljevic, Vice President of the FBiH Government and Minister of Finance. Over the first eleven months of 2024, the Federation has repaid 1.083 billion marks (roughly €541 million), showcasing a consistent effort toward debt reduction.

Minister Kraljevic credited this achievement to prudent fiscal policies and disciplined debt servicing, which reflect the FBiH Government’s commitment to efficient public financial management and economic stability.

He noted that FBiH’s borrowing framework is determined by the 2024 Budget, which includes a transparent and predefined allocation of funds. This process ensures public awareness and accountability in financial operations.

An examination of the 2024 Budget reveals that a substantial portion of resources is allocated to guaranteed and social benefits mandated by special legislation. Additionally, the budget provides for capital investments and current transfers to strengthen various levels of government across the FBiH.

In the coming days, a transfer of 200 million marks (some €100 million) to cantons is anticipated as part of the government's broader strategy to address socio-economic challenges and enhance public service delivery.

“We recognize the socio-economic difficulties faced by all levels of government. In this regard, we remain committed to supporting municipalities and cantons to ensure stability and sustainability,” Kraljevic stated.

This proactive financial approach underscores the FBiH’s dedication to fostering fiscal stability while addressing the needs of its citizens and governmental structures.