Investor Presentaiton
Pillar III: Economic Response and Recovery - measures
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Wage subsidies - job retention measures phased out after lockdown relaxation
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Coverage of labour taxes and contributions for workers in enterprises most affected by fall in revenues (20%)
Below radar: young workers, women owned small businesses, informal sector workers
Active labour market policy still in the nascent stage, development helped by the World Bank
Tax measures: postponement of corporate tax advances, commitment to labour taxation reform and reduction of
para-fiscal charges
Credit guarantee schemes (for SMEs only)
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RS € 25 million (EBRD)
FBiH € 50 million (IFIs)
Lack of power for loss coverage, lack of scope, lagging far behind impact of similar schemes in more developed
countries
Measures were very short term under assumption of recovery coming early in 2021 which may not be the case
Missing:
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Link between short term response and mid-term recovery plan in the context of structural reform
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Equity investment promotion schemes
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SOEs reform
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Public administration reform
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Industrial policy (digitalization and Industry 4.0)
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