It was not long after the new government took office in February 2012 that internal partition happened in Bosnia and Herzegovina.Disputes over the budget within the coalition led to the evict of the members of the Party for Democratic Action (SDA) from the government by the Social Democratic Party(SDP). No agreement has been reached by the parties concerned on the constitutional reforms.All of these have had a negative influence on the accession of BiH to the EU.BiH's economic situation is worsening with a downward GDP growth,an increased budget deficit,high unemployment rate and a heavy debt.Reducing budget deficit and boosting economic growth will be the major challenges confronting the government. <<