Political crises frequently crowd out economic problems from the news agenda in the Balkans, but this week we bring a number of important economic and business themes to the usual mix of political and diplomatic intrigue from the region.
Local and international observers of Bosnia are typically preoccupied with the country’s constant political crises, whether they be induced by talk of secession referendums, constitutional reorganizing of the country or the semi-permanent paralysis of its institutions.
And while commentators fret about whether such political crises could lead to another war at some point in the near or more distant future, they are missing what is arguably the real ticking time bomb of Bosnia – the disastrous state of its economy and public finances. As our analysis shows, thanks to excessive spending, high budget deficits and a lack of investment, foreign or otherwise, the country and its two entities are engaged in a race to the bottom – to bankruptcy.
http://www.balkaninsight.com/en/article/reality-check-02-24-2017-1
