Exclusive: N1 brings all the details from Schmidt’s UN Security Council report

The report, covering the period from April to October 2025, paints a picture of escalating political defiance from Republika Srpska authorities, deepening institutional paralysis at the state level, and renewed ethnic tensions threatening to undermine fragile post-war stability. Schmidt cautions that the General Framework Agreement for Peace “is not optional” and insists that Bosnia and Herzegovina’s territorial integrity and political independence must be respected “by all, both domestically and internationally.”

“The General Framework Agreement for Peace is not optional. Its guarantees are not a matter of choice. The territorial integrity and political independence of the country must be respected by all, domestically and internationally,” Schmidt writes in the report obtained by N1.

Dodik verdict and political consequences

The most detailed parts of the report focus on the conviction of Milorad Dodik, former president of Republika Srpska, who was sentenced to one year in prison and banned from holding public office for six years for violating the Peace Agreement.

Schmidt notes that this was not an isolated incident but “the latest move in a long-term political strategy, planned and prepared well in advance.”

Following the verdict, Dodik’s mandate was formally revoked by the Central Election Commission, which called early elections for November 23, 2025. However, the National Assembly of Republika Srpska (NSRS) reacted defiantly, adopting conclusions prohibiting cooperation with state institutions and even calling for an entity-level referendum rejecting Schmidt’s authority and the verdict of the Court of BiH.

An entity cannot hold a referendum on matters outside its constitutional competence, Schmidt stressed, warning that the decision to call a referendum violates Republika Srpska’s obligations under Annexes 4 and 10 of the Peace Agreement.

He commended the judiciary’s response, saying it sent a strong message that attacks on the constitutional and legal order “carry legal consequences.”

Institutional paralysis

Schmidt describes a deeply divided political scene, noting that the state coalition collapsed after the Troika parties (SDP, NiP, NS) broke with Dodik’s SNSD, while HDZ BiH opposed restructuring the Council of Ministers.

“The Parliamentary Assembly of Bosnia and Herzegovina remains paralysed, and the Council of Ministers has failed to deliver expected results,” the report says, describing the crisis as “politically manufactured” and resolvable through dialogue.

EU path: ‘Missed but not lost opportunities’

Schmidt acknowledges renewed stagnation in EU integration due to domestic obstruction but cites some progress, the late adoption of the Reform Agenda needed for the EU Growth Plan, calling it “modest but potentially crucial.”

Bosnia and Herzegovina belongs to the European family, but its path to EU membership has been undermined by domestic authorities, primarily those representing the ruling coalition of Republika Srpska, the report states.

Sanctions and financial measures

During the reporting period, Schmidt used his executive powers twice, notably on April 24, when he suspended all budget allocations to SNSD and United Srpska for continuing to defy Constitutional Court rulings and promoting secessionism. Funds were frozen in a Central Bank account until compliance with the Peace Agreement is restored.

Another decision, on July 17, enabled the state to settle a €39.8 million arbitration debt caused by Republika Srpska’s illegal termination of a concession, which Schmidt said was necessary to “save the state from financial collapse.”

Referendum and secession rhetoric

The report dedicates significant attention to the NSRS decision of August 22 to call a referendum challenging Schmidt’s legitimacy and the state judiciary, with the question:

“Do you accept the decisions of the unelected foreigner Christian Schmidt and the rulings of the unconstitutional Court of Bosnia and Herzegovina against Republika Srpska President Milorad Dodik?”

Schmidt calls this “deeply concerning,” recalling a similar attempt in 2011 prevented by EU intervention. He also cites Dodik’s renewed threats of secession, including his statement: “If they touch our property, we will be an independent state that very night.”

State property dispute and economic risks

Schmidt identifies state property as a key unresolved issue. While upholding the Constitutional Court’s ban on disposal of state assets, he suggests easing restrictions to allow lawful development projects, warning that strict enforcement could cause “economic paralysis” in the Federation.

He further notes the absence of a 2025 state budget, with institutions operating under OHR-imposed temporary financing, which “undermines the state’s ability to function and meet its obligations.”

Ethnic tensions and Srebrenica

The report highlights a “significant increase in ethnically motivated incidents,” particularly in Central Bosnia, along with the glorification of convicted war criminals, including Ratko Mladic’s images on shirts, flags, and murals across Republika Srpska. Schmidt condemns these acts as an “affront to the memory of victims.”

He also refers to the cancellation of the Conference of European Rabbis in Sarajevo following public appeals by a federal minister, calling it “a blow to Bosnia and Herzegovina’s reputation as a pluralistic society.”

On Srebrenica’s 30th anniversary, Schmidt notes that seven newly identified victims were buried this year, bringing the total to 6,772, while around 1,000 remain missing. He urges continued domestic and international support for identifying the missing.

‘Dialogue is the only way forward’

As the 2026 general elections approach, Schmidt concludes with cautious optimism:

“While there are signs that the country could overcome the crisis that peaked this year, political courage will be required for leaders to abandon entrenched positions. Dialogue is the only possible way forward.”

He ends by reaffirming that the peace framework remains “the foundation of Bosnia and Herzegovina’s stability and development,” warning that “efforts to undermine it will not advance EU integration, but only responsible governance and inclusive dialogue will.”

The UN Security Council session on Bosnia and Herzegovina will be held on Friday, October 31, and broadcast live on N1 at 3 pm local time.