High Representative and EU Special Representative, Miroslav Lajčák, briefed the Secretary Belka on political situation and future challenges ahead of BiH where he reported that long lasting SAA will be signed on 16 June. When BiH signs SAA, one of the conditions for transition of OHR to EUSR will be met. The other condition – a positive assessment of the situation in BiH will also have to be achieved.
With regard to the economic situation in BiH HR/EUSR emphasized that adoption of Platform for Action at OHR’s Economic Conference of 16 October 2007 has triggered progress on some long-standing economic reforms. Also, the BiH Parliament is expected to adopt the Law on the National Fiscal Council, a European Partnership requirement. Some progress is evident in the negotiations on the issue of indirect tax revenues allocation, although there has been no final agreement yet.