The City Administration in Banja Luka, the administrative centre of Bosnia’s Republika Srpska (RS) entity, informed citizens that all transactions of the city are stopping as of April 1 since the local budget was not adopted.

The institution said that it does not have the legal possibility to pay the April salaries for local public officials or the March salaries for 682 employees of several local institutions, including those dealing with education, culture, agriculture, sports and social work.

Also, the administration will be unable to pay for any welfare programmes or any maintenance of roads and infrastructure.

The Banja Luka Assembly failed to adopt the local budget during the dramatic sessions, which were throughout two days marred by quarrels between Mayor Drasko Stanivukovic and the assembly majority.

Stanivukovic argued that amendments to the local budget that were proposed by the majority represented an “economic crime” against citizens.