This report covers the main macroeconomic releases from November 6 until December 5, 2014 as well as the financial and political events that took place in Bosnia during this period. Bosnia will most likely fail to draw two loan tranches worth around BAM260mn (€133mn) of its stand-by loan with the IMF by the end of 2014 as the country has not completed the required reforms, according to the finance minister of Bosnia’s Muslim-Croat Federation. According to the initial plan, the country had to draw the ninth loan tranche of BAM132mn on September 15, and the tenth tranche – on December 15. Bosnia’s CPI rose by 0.1% y/y in October, following 14 months of negative annual growth, the country’s statistics office said. The small annual increase last month reverses a 0.1% drop in September. In monthly terms, the CPI increased by 0.4% in October. On the corporative front, The Bosnian unit of Austria's Vienna Insurance Group (VIG) posted a €0.4mn pre-tax loss in January-September, which compares with a zero profit in the same period of 2013. Key points: • CPI rose by 0.1% y/y in October, following 14 months of negative annual growth. • Industrial output increased by 0.6% y/y in October, slowing from a 1.7% y/y growth in September, on the back of deteriorated performance in all three sections – mining, manufacturing and utilities. • The retail sales increased by 3.8% y/y in October, accelerating from a 2.4% y/y rise in September, on the back of recovering sales of automotive fuel.