The Government of Bosnia's Republika Srpska (RS) entity adopted, on Monday, the Proposal of the Law on Amendments to the Law on Banks of the RS, at the 9th special session in Banja Luka, under an urgent procedure.

The reasons for the adoption of this law are contained in the need for harmonization with the Law on the Investment and Development Bank of the RS. The law proposes that in addition to business with commercial banks, the Bank (IRBRS) can perform operations of receiving cash deposits or other refundable funds, in accordance with the authorization to perform such operations established by the law regulating its establishment, legal status and activity.

The RS Government passed the Draft Law on the IRBRS, under an urgent procedure, which expanded the Bank's activities so that in addition to the already prescribed activities, it can also perform the activities of receiving cash deposits and performing payment transactions.

The Government also adopted the Draft Law on Internal Payment Transactions which provides that the IRBRS can also perform payment transactions in accordance with the authorization to provide these services established by the law regulating its establishment, legal status and activities.