1- Context

2- Monitoring and evaluation tools

Benjamin Herzberg CICIC

BiH political context: stability - coexistence

STATE

Federation of Bosnia and Herzegovina

Republika Srpska

10 cantons

Brcko

Office of the High Representative: Implement the 1995 Dayton peace accord

IMF

WB

EC

USAID

BiH economic context: on the road to better climate

Infrastructure mostly there$5 billion dollars spent on BiHDeclining donor assistanceGDP (KM 9B) 5,5% growth rateCurrent account deficit: exports = 1/3 imports Debt KM 5B2002 FDI = 120% 2001 Average salary: KM 470

Competitive business

environment to attract investment and increase exports

Transition to market economy

-Inherited red-tape lawsCumbersome Dayton structure (Single Economic Space)Corruption (as in Central & East European transition countries)Large gray market (40%), no incentive to enter legitimate marketPoor institutions: inefficient courts, heavy administration Lack of political willLack of advocating constituencies

Stable currency, natural resources, low wages, educated workforceKey growth sectors:wood, textiles, organic farming, energy, water+

Some salt into the conventional recipe

TOP

DOWN

Private sectorprivatization, banking/credit, debt, labor market, tax (WB, USAID)

Institution/capacity building eg state revenue authority, veterinary institute, standards and measurements, competition (ALL)

Macroeconomic stability hard budget constraint,

currency board (IMF)

Rule of law courts, legislation, police

(OHR/UN/EU)

OHR coordinating and monitoring role

Structural reforms – Classic model

+

UP

BOTTOM

MethodologyDefine the market

ENTREPRENEURS

Create a product

ROADBLOCK

Create a brand

BULLDOZER

Create a value proposition

“50economicreformsin 150 days”

SLOGAN

Jan 29

Bulldozer Committee2nd Plenary SessionVetting 15 reforms

Feb 07 Feb 13 Feb 20 Feb 25 Mar 03 Mar 24

Bulldozer Committee3rd Plenary SessionVetting 27 reforms

Bulldozer Committee1st Plenary SessionVetting 8 reforms

Dec 17Nov 12

HR meeting YoungEntrepreneurs

TRAVNIK

Feb 12

BC Public meeting

ZENICA

BC Public meeting

ORASJE

BC Public meeting

BRCKO

Jan 27Jan 16

BC Public meeting

TUZLA

BC Public meeting

MOSTAR

BC Public meetingBANJA LUKA

HR Press Conf.To Present BC

50 reforms

Bulldozer Committee50 REFORMSPUBLISHED

IN PRESS

Apr 22Mar 25

Joint Parliament Meeting in National Theatre with BC

ReformEnactment

by 3

Parliaments

5 0 E C O N O M I C R E F O R M S I N 1 5 0 D A Y S

3 Govts give their

amendmentspackage to PAs under

“urgent procedure”

Apr 3

BC presents 50 reforms to

CoM, RS, FBiH in JOINT

GOVERNMENT SESSION

Mar 12

Monitoring tool: publicly available timeline

Roadblock submission form

R01 Harmonization of LLC Minimum Capital Requirement

R06 Removing mandatory fee for shelter in FBiH

R20 Statewide amendments to provisions on training and volunteer labor

R24 Easing export of drugs and medicines from BiH

R28 Removing need for registration of foreign representative office in both entities

R35 Transform Chambers Membership in RS from Compulsory to Voluntary

R43 Easing collateral transferability

R47 Liberalization of Inter Entity Transport Regulations for Helping Refugee Return Tansportation

Evaluation tool: quantifiable outputs – 50 “roadblocks”

R01: Harmonizing minimum capital requirement for LLC

Evaluation tool: detailed tracking, official gazette check

Monitoring tool: Transparency, legitimacy, accountability

1 Review and analyze

Dialogue and process

Enact and publish

Implement and follow-up

Verify and measure

1 2

1 2 3

1 2 3 4

1 2 3 4 5

BULLDOZER PHASE II – FIRST PLENARY SESSION

Forms distributed by committees

Proposals Received by committees

Proposals pre-selected

by committees

Selected Proposals

sent to Bulldozer

Board

Selected proposals by

Bulldozer Board

Proposals vetted by IMF,

WB, EC, USAID, OHR

Proposals selected in First Plenary

Session for inclusion into final book of 50

Proposals on hold for

further review

Northwest 500 29 27 8 7 6 6 1

Northeast 700 40 20 10 5 4 4

Banja Luka Region 600 70 40 10 4 2 2 2

Sarajevo Region 450 132 32 12 9 7 5 3

Herzegovina 200 15 10 4 3 1 1 2

Central Bosnia 1200 80 25 10 3 1 1 4

Total 3650 366 154 54 31 21 19 12

Ratio 100% 42% 15% 8.5% 6% 5%

9

Evaluation tool: loose indicators, quantifiable evidence

M&E through public disclosure

Brochure 1: 100,000 copies, 3 languages, 5 newspapers and magazines

Brochure 2: 200,000 copies, 1 languages, 5 newspapers and magazines

Phase II

Bulldozer reform process