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Bosnia Faces Loss Of Funds After EU Deal Failure

EU Enlargement Commissioner Stefan Fuele and Bosnian leaders have failed to break the deadlock.
BRUSSELS -- EU Enlargement Commissioner Stefan Fuele and several Bosnian leaders have failed to resolve the political deadlock in the country, with Sarajevo now facing a loss of EU funding.

The two sides met in Brussels on October 10, one week after a similar meeting fell short in tackling the issue of discrimination against national minorities in Bosnia's election processes, as well as the establishment of a single mechanism within the country to coordinate relations with the EU.

Brussels has now announced it will launch a procedure to reduce the EU funding that Bosnia-Herzegovina would receive in 2013 by 54 percent.

This means that Sarajevo risks losing 47 million euros ($63.5 million).

The European Commission has noted, however, that the procedure can be stopped if there is a solution over the next few days.

No further talks have been announced.
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