Bosnia and Herzegovina: Elektrokrajina faces debt crisis as national deposits rise

The utility company Elektrokrajina Banja Luka reported a net profit of 983,096 KM for 2025, despite facing significant financial uncertainty. Auditors warned that the company’s short-term liabilities of 136.64 million KM exceed its current assets of 49.99 million KM by 86.64 million KM. This deficit raises concerns regarding the company’s ability to service current obligations through regular operational activities. While the company achieved a final profit, it recorded a negative operating result of 1.13 million KM and a loss from regular activities of 3.02 million KM.

Separately, data from the Central Bank of Bosnia and Herzegovina shows that total domestic sector deposits rose by 13.4 percent over the past year, reaching 40.43 billion KM by the end of July. Monthly growth was driven largely by the population sector, which saw an increase of 270.8 million KM. Within the population's deposits, transaction accounts represent 51.2 percent, sight deposits 19.5 percent, and term deposits 29.3 percent.