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Average Salary in the Federation of BiH Covers Less Than Half of the Union Consumer Basket

12/17/2025

Average Salary in the Federation of BiH Covers Less Than Half of the Union Consumer Basket

The latest data on the standard of living in Bosnia and Herzegovina indicate an increasingly difficult economic situation for citizens.

According to the report carried by N1 Bosnia and Herzegovina, the financial gap between monthly income and basic living needs has reached critical levels.

The Confederation of Independent Trade Unions of Bosnia and Herzegovina calculated that the trade union consumer basket for November 2025 amounts to a high 3,355.25 convertible marks, which converted comes to approximately 1,715 euros. On the other hand, the average salary paid in the Federation of BiH according to the latest data from statistical institutes amounts to only 1,603 convertible marks, or around 820 euros.

Such statistics vividly depict the devastating reality in which average workers' earnings are not enough to cover even fifty percent of the costs necessary for a dignified life for a family of four. More precisely, the average salary covers only 47.78 percent of the basket amount, while the situation is even more drastic for those with minimum earnings. With the minimum wage set by decision of the Government of the Federation of BiH at 1,000 convertible marks, which is about 511 euros, coverage of basic living costs falls to just 29.80 percent.

The calculation of the trade union basket is based on the minimum living costs of a family consisting of two adults and two children of primary and secondary school age. By far the largest share of monthly expenditures is food, which at 42.64 percent represents the greatest burden on the household budget. When analyzing food prices, the costs of eighty-six different items from three large shopping centers were taken into account. After food, the largest items are housing and коммунal services with a share of 14.73 percent, while about 11.92 percent of the total amount is spent on clothing and footwear.

The rest of the basket is allocated to education and culture costs, which account for slightly more than ten percent, as well as hygiene and health maintenance, household maintenance, and transport. Although only basic parameters without any luxury are included in these calculations, it is evident that for the mere survival of one family in the neighboring country, almost two full average salaries are needed. Such data further fuel concern about the long-term sustainability of the standard of living and the purchasing power of the population in the region.