Population deposits in Bosnia and Herzegovina increased by 413.2 million KM in a month, shows the data of the Central Bank of BiH.
In the Central Bank of BiH, the total deposits of domestic sectors at the end of December 2024. amounted to KM 33.87 billion, and compared to November increased by KM 607.6 million (1.8%).
“Increasing deposits on the monthly basis is registered in the population sector by 413.2 million KM (2.4%), with private companies by 193.7 million KM (2.4%), in non-financial public companies for 54.8 million KM (2.8%) and other domestic sectors for 29.9 million KM (1.5%), “states in the data.
Further writes that deposits at the monthly level are reduced in government institutions by 84 million KM (2.0%), write Independent newspapers.
“The annual growth rate of total deposits in December 2024. amounted to 8.8%, which is in the absolute amount of KM 2.74 billion.
The annual growth of the deposit was registered in the population sector by 1.59 billion KM (9.9%), with private companies for 1.01 billion KM (14.3%), in non-financial public companies for 109 million KM (5.8% ) and in other domestic sectors for KM 177 million (9.9%).
On an annual basis, deposits decreased by government institutions by KM 149.2 million (3.5%), “stands in the publication of the Central Bank of BiH.
Which is why the growth of the population deposits was recorded, we asked experts.
Economist Igor Gavran believes that continuous growth of deposits is not a surprise.
“Although only a small part of the population due to the growth of stratification and property differences, this minority is increasingly richer and the possibility of saving grow, while at the same time there is no development of other forms of investment, and the capital market is Maltena dead. However, I am impossible to explain this radical jump in just a month in any way. Let the mass sales of property and temporary conversion into money or transfer of larger amounts of money from the outside could be potential sources, but it is really impossible to give a reliable interpretation without more details. Inflation also cannot explain this much growth, “Raven said for” independent newspapers “.
Marko Djogo, a professor at the Faculty of Economics, University of East Sarajevo, told “independent newspapers” that a great growth of deposits were recorded in just a month.
“We have a long-term growth trend of all deposits, especially the deposits of the population. The population deposits became the basic source of banks. In all normal countries, the population deposits are the basic source of deposit, but the growth of the deposit of 400 million KM in a month without a deeper analysis cannot be explained. The liquidity of banks is very high, with our banks do not find enough clients or their criteria are too high. We have a paradox in the economy that on the one hand we have a trading deficit and current account deficit, which allegedly tells us that our investments are greater than domestic savings. However, on the other hand, we have the situation that banks are very liquid and that they are greater deposits from the loan. This approximately says that there is a problem that the loans are converted into investments. It doesn’t happen to us. This is a kind of imbalance in the economy and should be done on that, “Djogo explained.
