Compliance Training Enhances Public Finance Management in Bosnia and Herzegovina

In a significant move towards strengthening public finance management, financial institutions in Bosnia and Herzegovina have undergone comprehensive compliance training as part of the Further Support to Public Finance Management project. This initiative aims to address the challenges posed by the complex system of public finance in BiH.

Overcoming Challenges in Public Finance Management

The system of public finance in Bosnia and Herzegovina has long presented difficulties for authorities at all levels of government. However, thanks to this comprehensive compliance training program, officials are now better equipped to:

• Improve expenditure effectiveness
• Streamline budget planning processes

Key Areas of Focus

The project focuses on several key areas, including:

• Developing organizational frameworks to ensure effective implementation of policies outlined in the Framework Budget Document
• Establishing a detailed structure of budget users to promote transparency and accountability
• Introducing performance indicators for mid-term budget planning across state governments and entities

Training Sessions: A Crucial Component

105 training sessions have been conducted, benefiting over 1,800 participants. These sessions aimed to enhance the skills of financial institution staff by drawing on expertise from European Union member states and candidate countries.

Significant Results

The project has yielded impressive results, including:

• The review of 27 legal acts and sub-legal regulations
• Proposed amendments to the Law on Budgets expected to improve public finance management in BiH

Conclusion

The success of this initiative underscores the importance of compliance training for financial institutions in Bosnia and Herzegovina. By equipping officials with the necessary skills and knowledge, the project has taken a significant step towards strengthening public finance management in the country.