In local governments across Bosnia and Herzegovina (BiH), budget transparency remains unsatisfactory, and efforts to improve it are urgently needed, according to the results of a study on budget transparency in local government units conducted by the Centre for Research and Studies – GEA in Banja Luka.
“Budget transparency at the local level is crucial, as it enables more efficient, accountable, and inclusive management of public funds. Unfortunately, the findings of this study show that the level of budget transparency in local government units across Bosnia and Herzegovina is low,” said Vladislav Jakovljević from the Centre for Research and Studies – GEA.
Jakovljević added that it is essential to involve representatives of civil society, the media, and other stakeholders more actively in budgetary processes, to ensure a sufficiently high level of public awareness and understanding of how budgets are managed.
The findings were presented in Sarajevo during a roundtable discussion titled “How Transparent Are Local Budgets in Bosnia and Herzegovina and How Can They Be Made More Transparent?” This event was part of the LENS project – Strengthening the Capacity of Civil Society Organisations for Public Budget Monitoring – funded by the European Union and implemented by the Centre for Investigative Reporting (CIN), Futura, and GEA.
At the event, the comprehensive study on budget transparency—covering all local government units in the country for the first time—was presented. During the roundtable, the cities of Bihać and Gradiška highlighted their best practices in creating conditions for greater transparency in public spending.
Jasmina Ćoralić, Assistant for Finance and Economy to the Mayor of Bihać, described the city as a leading example of good practice in BiH.
“A system has been put in place to monitor budget execution, with monthly reports prepared for stakeholders, and regular updates on budget implementation and the use of budget reserves presented at City Council sessions. This ensures effective oversight of public spending. Citizens are also actively engaged through public consultations, advisory boards, and online platforms, allowing them to participate directly in both budget planning and monitoring,” Ćoralić explained.
Darko Vrhovac, Head of the Department for Development and International Projects in Gradiška, explained that the city of Gradiška uses a comprehensive financial application covering all stages from document intake to output. The system is fully digitalised and linked to the budget, contracts, fixed assets, and both incoming and outgoing invoices.
“We maintain asset databases, document repositories, and several other databases containing detailed information about city property. Our administration operates a paperless DMS system, and much of this information can be made accessible through open data. E-governance, including electronic submission of requests, is currently being rolled out. Decisions and acts passed by the City Assembly and the Mayor are stored in the system, along with databases of businesses, farmers, and other stakeholders,” Vrhovac said.
The roundtable also highlighted the challenges of ensuring budget transparency in small local communities. Bojan Ćulibrk, Independent Expert Associate for General and Administrative Affairs, Economy and Entrepreneurship, Public Procurement, and Human Resources at the Municipality of Petrovac-Drinić, stated that smaller local communities face numerous obstacles in implementing the principles of budget transparency.
“Limited administrative capacity, technical and infrastructural constraints, low civic engagement, political influences, and the perception that transparency is not a priority all pose significant challenges. To address these obstacles, it is necessary to invest in the capacity of local administrations, develop digital tools—such as simple budget portals—increase public awareness, and ensure that key budget documents are presented in a clear and easily understandable format,” Ćulibrk said.
The LENS project – Strengthening the Capacities of Civil Society Organisations for Monitoring Public Budgets – aims to contribute to the fight against corruption by improving monitoring of budget spending and the use of public funds at the local level, with active involvement from civil society.