September 6 (SeeNews) - Bosnia and Herzegovina expects its nominal debt to reach 12.77 billion marka ($6.5 billion/6.5 billion euro) by the end of 2024, up 14.3% compared with the end of 2020, the country's finance ministry said.
The anticipated increase is due to increased budget support for the economy to mitigate the effects cause by the Covid-19 pandemic, rising inflation and investment-development projects, Bosnia's ministry of finance and treasury said in 2021-2024 debt management strategy published last month.
The country expects the share of external debt to increase to 79.6% of the total nominal debt by 2024, compared with 76.9% in 2020.
As a share of the projected gross domestic product (GDP), Bosnia's total nominal debt is expected to fall to 29.5% in 2024 from 31.6% in 2020.
The Serb Republic projects its total debt to decrease to 43.2% of GDP in 2024 from 46.9% of GDP in 2020, whereas the Federation sees its debt-to-GDP ratio falling to 24.5% in 2024 from 26.4% in 2020.
The Federation and the Serb Republic are the two autonomous entities forming Bosnia and Herzegovina.
(1 euro = 1.95583 marka)