The government of the Federation has rejected demands by the Federation Association of Pensioners for a five percent increase in pensions. According to entity prime minister Nermin Niksic, the Federation’s budget cannot accommodate any increase in pensions at all.
“That is not realistic at this moment, having in mind the natural disaster that has occurred, which has affected economic activities,” he said, referring to the disastrous floods that struck Bosnia in May.
“Lowered economic activity means lower revenues, which eventually affects the [pension] funds,” he added.
“I respect the demands of the pensioners and their situation,” he continued, arguing, however, that it would be a struggle even to keep the current level of pensions.
