Sarajevo Canton introduces program-based budgeting reform

Sarajevo Canton is implementing a program-based budgeting reform designed to increase transparency and accountability in public spending. The shift moves the focus from the total amount of money spent to the specific outcomes and measurable results achieved through those expenditures.

Under this new system, each budget program will include clearly defined objectives and performance indicators. This allows for more effective monitoring of how funds allocated to sectors such as education, healthcare, transport, and security translate into tangible benefits for citizens. The reform aims to align the canton’s financial management with European practices.

To facilitate this transition, the Ministry of Finance has upgraded its Oracle ERP Cloud system with a new module for program-based budget planning. Full implementation preparations are scheduled to begin in late 2026 and early 2027, with the goal of applying the system to subsequent budget cycles. Finance Minister Afan Kalamujic noted that the reform will allow the government to measure success by tracking whether intended goals are actually met.