1945

Towards more effective investment promotion

Bosnia and Herzegovina has a tradition of industrialization to build on. As part of the former Socialist Federal Republic of Yugoslavia, Bosnia and Herzegovina had developed an industrial base, principally in primary and manufacturing industries, owing largely to the establishment of SOEs. Much of it was severely damaged in the conflict of the 1990s and a great deal of expertise was consequently lost. However, as indicated in the context, mining and mining-related activities, steel production, vehicle components and assembly, textiles, tobacco products, wooden furniture and domestic appliances are still among the principal industries and contribute significantly to exports and employment generation. The potential of Bosnia and Herzegovina in terms of FDI attraction is strong – based, among other positive factors, on its industrial heritage, skills base and labour quality/value.

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