IMF approves 2-year $643m loan for Bosnia
WASHINGTON (REUTERS) - The International Monetary Fund (IMF) on Wednesday approved a 24-month, 405.3 million euros (S$643 million) loan agreement with Bosnia to support the government's 2012 to 2014 economic program at a time when the euro zone crisis is slowing demand.
The IMF said it would immediately disburse about 60 million euros to the government, with the remaining sum to be phased over the rest of the 24 months.
"In recent months, Bosnia and Herzegovina's economic recovery has been losing momentum and risks to the outlook have tilted to the downside," the IMF said in a statement. "In this context, the authorities' comprehensive economic program for the period ahead is timely and welcome."
The fund said new statistics showed a sharp slowdown in economic activity in Bosnia as external demand declines.