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1999 BUDGET DOES NOT COVER BASIC NEEDS - FEDERATION PARLIAMENT

SARAJEVO, Dec 23 (Hina) - Despite some earlier announcements, the +Government of the Federation of Bosnia-Herzegovina on Wednesday +failed to adopt a draft budget for 1999.+ The Government, appointed by the Federation Parliament ten days +ago, today held its first constituent session.+ According to the proposal, drawn up by the Finance Ministry, the +Federation budget in 1999 should amount to 975 million convertible +marks, which is a 20 per cent increase compared to 1998.+ The revenue is planned to come mostly from customs duties and taxes +and partially from donations and World Bank loans, intended +primarily for foreign debt servicing.+ The main users of the budget are again the Defence Ministry, with +400 million convertible marks, and war invalids and victims, with +300 million marks.+ Most ministers however, estimated that the proposed amounts cannot +cover even the minimal needs.+ Ed
SARAJEVO, Dec 23 (Hina) - Despite some earlier announcements, the Government of the Federation of Bosnia-Herzegovina on Wednesday failed to adopt a draft budget for 1999. The Government, appointed by the Federation Parliament ten days ago, today held its first constituent session. According to the proposal, drawn up by the Finance Ministry, the Federation budget in 1999 should amount to 975 million convertible marks, which is a 20 per cent increase compared to 1998. The revenue is planned to come mostly from customs duties and taxes and partially from donations and World Bank loans, intended primarily for foreign debt servicing. The main users of the budget are again the Defence Ministry, with 400 million convertible marks, and war invalids and victims, with 300 million marks. Most ministers however, estimated that the proposed amounts cannot cover even the minimal needs. Education and Culture Minister Fahrudin Rizvanbegovic said he was shocked with the proposal that his ministry be given only two million marks. Defence Minister Miroslav Prce said his ministry required 402 million marks for salaries only, adding the ministry needed one billion marks. Health Minister Bozo Ljubic said the planned funds for the health system would endanger even the possibility of obligatory vaccination of children. The International Monetary Fund had earlier requested the Federation Government to adopt the 1999 budget until December 31 at the latest, making any further cooperation conditional upon the its adoption. However, a parliamentary vote on the budget has been postponed for several days, following a warning by Deputy Prime Minister Dragan Covic that the government is obligated to offer all possible answers to serious questions raised by the ministers. (hina) rml

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