# Bosnia‑Herzegovina audit and 2026 budget adoption

> Live situation record from CLSTR: https://clstr.news/situations/bosniaherzegovina-audit-on-public-spending
> Updated: 2026-08-14T12:06:07.000Z. Sources: 44. Developments: 3.

In July 2026, the Bosnia and Herzegovina State Audit Office released reports documenting systematic misuse of public funds. Investigations into the Postal Services Agency revealed officials using official vehicles while on sick leave, exceeding fuel limits, and logging undocumented travel. A separate review of the ministries of Justice, Foreign Affairs, Communications and Transport, and Foreign Trade and Economic Relations found that ministers and staff spent nearly one million KM on trips, including weekend travel and expenses exceeding legal entitlements. Further audits of the General Secretariat of the Council of Ministers identified nearly 51,000 KM in undocumented representation costs and 22,000 KM in overtime payments, primarily to drivers. Procurement concerns were also raised regarding a vehicle service contract awarded to a distant provider despite ten potential bidders downloading the tender.

Later that month, after a seven-month delay, the House of Peoples approved the 2026 state budget through an urgent parliamentary procedure that limited amendment opportunities. The vote on 27 July recorded nine votes in favour, one against, and five abstentions. The budget totals 1,580.5 million convertible marks (KM), a 10 million KM (1%) rise over 2025. It earmarks additional funds for SIPA (17 M KM), the Office of the High Representative (9 M KM), the Court (5 M KM), the Prosecutor’s Office (4 M KM), the Border Police (13 M KM), and the Ministry of Defence (43 M KM).

A key component is a 130 M KM allocation for a salary increase for roughly 23,000 civil servants, raising the basic wage from 630 KM to 690 KM retroactively from 1 January 2026. Opposition parties criticised the fast-track process and the omission of funding for the public broadcaster BHRT.

## Claims

- The 2026 budget totals 1.5805 billion KM. (corroborated by 13 sources)
- Salary allocations increased by about 130 million KM, raising the basic salary from 630 KM to 690 KM, with retroactive effect from 1 January 2026 for roughly 23 000 civil servants. (corroborated by 13 sources)
- The budget allocates additional funds: SIPA 17 million KM, OSA 9 million KM, Court of BiH 5 million KM, Prosecutor’s Office 4 million KM, Border Police 13 million KM, Ministry of Defence 43 million KM (corroborated by 13 sources)
- The House of Peoples of the Parliamentary Assembly of Bosnia and Herzegovina adopted the 2026 state budget after a seven‑month delay. (corroborated by 12 sources)
- The budget was adopted by a vote of nine in favour, one against and five abstentions. (corroborated by 12 sources)
- Opposition parties criticised the urgent procedure for limiting amendment opportunities and noted the budget does not include funding for the public broadcaster BHRT. (corroborated by 12 sources)
- Approximately 23 000 civil servants will receive higher salaries and retroactive payments under the 2026 budget. (corroborated by 12 sources)
- The budget increased by 10 million KM (1 %) over the 2025 budget. (corroborated by 11 sources)
- The budget was passed using an urgent parliamentary procedure; the vote was nine in favour, one against and five abstentions. (corroborated by 10 sources)
- The House of Peoples of Bosnia and Herzegovina approved the 2026 state budget after a seven‑month delay. (corroborated by 9 sources)
- The basic salary for public‑sector employees was raised from 630 KM to 690 KM. (corroborated by 9 sources)
- The House of Peoples of the Parliamentary Assembly of Bosnia and Herzegovina approved the 2026 state budget. (corroborated by 8 sources)

## Timeline

### 2026-08-14: Bosnia and Herzegovina Council of Ministers audit reveals spending irregularities

Auditors identified financial irregularities in the Council of Ministers of Bosnia and Herzegovina, including 51,000 KM in poorly documented representation costs and questionable vehicle service contracts.

2 sources. https://clstr.news/cluster/bosnia-and-herzegovina-council-of-ministers-audit-reveals-spending-irregularities

### 2026-07-27: Bosnia and Herzegovina adopts 2026 state budget with salary boost and targeted funding

Bosnia and Herzegovina adopted its 2026 state budget (1.58 bn KM, +1 %) after a delay, adding funds for security agencies and raising public‑sector salaries to 690 KM with retroactive pay from Jan 1 2026.

38 sources. https://clstr.news/cluster/bosnia-and-herzegovina-audit-highlights-publicspending-waste-and-procurement-breaches

### 2026-07-19: Bosnia and Herzegovina audit reveals misuse of official cars and nearly 1 million KM in ministerial travel

Bosnia and Herzegovina’s audit office reported officials misusing official cars, hiring without competition and paying non‑working staff, while four ministries spent nearly 1 million KM on travel.

6 sources. https://clstr.news/cluster/bosnia-and-herzegovina-audit-reveals-misuse-of-official-cars-and-nearly-1-million-km-in-ministerial-

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Cite as: Bosnia‑Herzegovina audit and 2026 budget adoption. CLSTR, https://clstr.news/situations/bosniaherzegovina-audit-on-public-spending