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EU Commission rebukes Bosnian Minister’s claims, warns of further funding cuts

FILE PHOTO: European flags fly outside the European Commission headquarters in Brussels
REUTERS/Yves Herman

The European Commission has firmly rejected claims by Bosnia and Herzegovina’s Minister of Foreign Trade, Stasa Kosarac, who alleged that the EU Growth Plan is being used as a form of political blackmail against the country.

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“The rules have been clear from the beginning, money from EU funds goes to those who deliver reforms, not to those who merely negotiate them,” the Commission stated in response to Kosarac’s recent comments.

In a written statement to N1, the Commission clarified that the Reform and Growth Facility is strictly results-based: “Partners who implement reforms can access all available funds, while those who do not may face reductions in funding.” The response directly contradicts Kosarac’s claim that the EU is exerting pressure on Bosnia and Herzegovina, emphasising that the mechanism is based on transparent and pre-agreed-upon rules.

The Commission emphasised that the Growth Plan is not a substitute for EU enlargement, but rather a tool to support and accelerate the accession process. “It is important to highlight that the Growth Plan is not an alternative to EU enlargement, but a complementary offer aimed at speeding up accession,” the statement said.

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To receive the first disbursement of funds under the Reform and Growth Instrument, specifically the pre-financing tranche, candidate countries must submit an agreed Reform Agenda. While all other countries in the region have already completed this step, Bosnia and Herzegovina remains the only one lagging behind. Despite months of technical consultations, the Reform Agenda document has yet to be finalised.

“Unfortunately, despite a political agreement reached in the BiH Council of Ministers on June 27, Bosnia and Herzegovina remains the only country in the region whose authorities have failed to submit a finalised and agreed Reform Agenda to the European Commission,” officials in Brussels said.

Due to this delay, the EU has already reduced Bosnia and Herzegovina’s funding by 10%, slashing the potential allocation from €1.085 billion to €976.6 million, a loss of €108.5 million.

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European Enlargement Commissioner Oliver Varhelyi has now issued a final deadline of September 30. If a fully harmonised and completed Reform Agenda is not submitted by then, the country risks losing another 10% in funding, pushing the total loss to over €200 million.

The warning comes after Minister Kosarac publicly accused the Commission of coercion. “They cannot pressure us. We will not adopt any decisions under duress,” he said.

But Brussels insists: there is no pressure, only deadlines. And the consequences are real. Because time is running out.

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