World Bank loan to cover debts of 10 public healthcare institutions in Republika Srpska

A World Bank loan exceeding 75 million Bosnian marks (approximately €38.3 million) will be used to settle outstanding debts owed by ten public healthcare institutions in Republika Srpska, officials announced on Tuesday. The loan will be repaid by the RS Government through the entity budget, meaning taxpayers will ultimately bear the cost.
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Following a meeting between Minister of Health and Welfare Alen Seranic, Bosnia and Herzegovina Finance and Treasury Minister Srdjan Amidzic, RS Finance Minister Zora Vidovic, and directors of hospitals, health centers, and public pharmacies, it was confirmed that four additional institutions still need to resolve tax liabilities before their debts can be cleared.
Minister Amidzic said procedures with the World Bank have also been initiated for those remaining institutions. He stressed that the issue should have been resolved more than a year ago but claimed political obstruction in the House of Representatives of Bosnia and Herzegovina caused the delay.
Health Minister Seranic emphasized that healthcare workers will no longer face obstacles when retiring and that their previously unrecorded years of service will now be properly calculated.
RS Finance Minister Vidovic added that since 2020, all tax and contribution obligations have been settled regularly, and healthcare institutions no longer accumulate new debts.
Ivan Popovic, president of the RS Hospital Directors’ Association and director of the Zvornik Hospital, said that once the arrears are covered, lawsuits filed by former employees over unpaid obligations will be withdrawn.
The settlement marks one of the largest coordinated financial interventions in the Republika Srpska healthcare system, aiming to stabilize institutions that have struggled for years with accumulated liabilities.
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