Economy and Investment


Bosnia and Herzegovina is rich in natural resources, 43% of its territory is covered by forests and according to the World Bank, Bosnia and Herzegovina is the richest country in the forest in southeastern Europe. It is known for beech and oak in the lower regions, while conifers, like fir and pine forests cover higher mountain areas.

Also, Bosnia and Herzegovina is one of the richest parts of the former Yugoslavia in water, coal, bauxite and iron ore. There are numerous sources of hot and healing waters, and large pastures. Surface of used agricultural land is about 2 million hectares.  60% of agricultural land is private ownership.

However, Bosnia and Herzegovina imports most of the products although has ideal conditions for production, because agricultural producers do not have sufficient government assistance in the form of subsidies as their counterparts in the European Union.

Crops, maize, various fruits and vegetables are the main agricultural products.

    • Investment opportunities

    BH government is working to ensure the future of its economy by encouraging foreign and domestic investment, offering many interesting projects to investors in various fields:

    • ENERGY

    This is one of the most promising branches which the state is trying to improve in order to develop the economy of the country. Bosnia and Herzegovina is one of the few European countries which export electricity. Exploitation of great water capacities of Bosnia and Herzegovina which are among other things used for electricity generation, is only 35%.

    • AGRICULTURE

    Agriculture offers great opportunities for investment, because the rainy climate throughout the year, rivers and other water sources make the land fertile.  Investments in this area have  promising future, as Bosnia and Herzegovina prepares to join the European Union, and will get the chance to export its products.

    • TOURISM

    Bosnia and Herzegovina is a very beautiful country, with plenty of mountains, valleys, forests and sources of clean water. During the winter it is covered with snow and in spring and summer it is full of greenery. It has good potential for development of health tourism. However, tourism resources are not used enough. There's a shortage of hotel capacity in the cities and mountains, and there is a need for  good advertising in order to attract more Qatari tourists.

    •  REAL ESTATE

    There are great opportunities for investment in construction of hotels, shopping malls, apartments and other facilities used by tourists. It is also possible to invest in the following areas:  ​​hotels, restaurants, mining, transport, communications and education.

    • Facts influencing foreign investment

    The spread of corruption in general and administrative corruption in Bosnia and Herzegovina and its institutions have reflected negatively on foreign investment, as well as high rates of levies and taxes, lack of protection of investments and investors, and failure to provide a favorable climate for their arrival, which caused interest of investors in Bosnia and Herzegovina to weaken, regardless of all resources this country is abundant.

    Investment law

    The Government of Bosnia and Herzegovina makes efforts to secure the future of the economy, counting on good investment opportunities in the country.

    The Government of Bosnia and Herzegovina is trying to provide all facilities to foreign investors for the arrival of foreign capital. In order to achieve the desired results, it established the Foreign Investment Promotion Agency of Bosnia and Herzegovina (FIPA), which is responsible to provide all information and parameters necessary for investors. It can be found at the website: www.fipa.gov.ba