Bosnia and Herzegovina, sometimes called Bosnia-Herzegovina or Bosnia & Herzegovina, abbreviated BiH or B&H, and, in short, often known informally as Bosnia, is a country in Southeastern Europe located on the Balkan Peninsula. Sarajevo is the capital and largest city. Bordered by Croatia to the north, west, and south; Serbia to the east; Montenegro to the southeast; and the Adriatic Sea to the south, with a coastline about 20 kilometers (12 miles) long surrounding the city of Neum. In the central and eastern interior of the country, the geography is mountainous, in the northwest it is moderately hilly, and the northeast is predominantly flatland. The inland is a geographically larger region and has a moderate continental climate, with hot summers and cold and snowy winters. The southern tip of the country has a Mediterranean climate and plain topography.
Bosnia and Herzegovina is the first country in South Eastern Europe that has completely reformed its banking system. Foreign banks have invested significantly. Unicredit Bank, Raiffeisen Bank, Intesa Sanpaolo Bank, Hypo Alpe-Adria-Bank, Nova Ljubljanska Banka, ProCredit Bank, Turkish Ziraat Bank, Volksbank, Zepter Commerce Bank are all present in the country. Currently, according to the Central Bank of BiH, foreign banks own 86% of the banking sector, ensuring employment for 10.270 people. Bosnia Bank International is the only bank operating in BiH under Islamic banking principle.
Based on their analysis, on September 27, 2013, the Agency Standard & Poor's has confirmed sovereign credit rating on Bosnia and Herzegovina at „B with stable outlook". The international rating agency Moody's Investors Service has announced on 10 July 2012 that the credit rating of Bosnia and Herzegovina remains B3. What has been changed compared to the previous rating assessment is the Outlook, as the Negative Outlook has been replaced with the Stable Outlook.
|Agriculture||Soil, wheat, oats, rye, barely, flax, sugar beets, vegetables, fruits & tobacco.|
|Manufacture||Metal, vehicle assembly, steel, iron, transportation equipment, scientific instruments, chemicals, textile, glass & petroleum.|
|Services (Including financial)||65.6% (2014 estimate)|
|Central Bank of Bosnia and Herzegovina||Banking|
|Mareco Index Bosnia||Market research|
The Sarajevo Stock Exchange was founded in September 2001 and commenced trading on April 12, 2002, as a central marketplace for trading in securities in the Federation of Bosnia and Herzegovina, which together with the Republika Srpska, makes up the post-war Bosnia-Herzegovina. The SASE was founded as a joint-stock company. It had eight founding members. According to the Securities Law, SASE members can only be legal entities - brokerage houses whose sole activity is trading in securities, with headquarters in Bosnia and Hercegovina. The founding capital of the exchange was BAM 200.000 (1 BAM = 0.51 EUR).
All SASE members must be licensed for securities trading by the Securities Commission of the Federation of Bosnia and Hercegovina. Only those brokers authorized by the SASE members, who have passed a brokers' exam are allowed to trade. The Securities Commission defines the manner and conditions for taking the exam and for revoking the license. A broker is required to hold a valid license issued by the Agency. The SASE currently has 16 members, whose headquarters are spread around Bosnia and Herzegovina, the majority being in the capital, Sarajevo. The shareholder assembly elects a five-member supervisory board for a four-year term. The supervisory board appoints the Manager of the Exchange who is in charge of the strategic planning and daily operations.
The members of the management board of the Sarajevo Stock Exchange and Wiener Börse signed a memorandum of understanding on March 21, 2006. This made Bosnia – after Romania, Croatia and Belgrade – the fourth Southeastern European stock exchange to enter into a cooperation agreement with the Budapest Stock Exchange and the Vienna Stock Exchange. The memorandum of understanding lays the foundation for closer collaboration between the exchanges of Sarajevo and Vienna. The first joint project is expected be an index.
Bosnia and Herzegovina face the dual problem of rebuilding a war-torn country and introducing liberty market reforms to its economy. One legacy of the previous era is strong metal industry; under former republic premier Dž email Bijedi?, and Yugoslav president Tito, metal-product industries were promoted in the republic, resulting in the development of a large share of Yugoslavia's metal products plants. Although agriculture is almost all in private hands, the republic traditionally is an exporter of food. The industry was very strong, a holdover from the Mixed economic structure of Yugoslavia. Yugoslav President Josip Broz Tito had pushed the development of metal industries, and electro-energetic sector, in the republic with the result that Bosnia and Herzegovina were a host of large numbers of industrial firms. Some of them were worked with World brand names, companies like Coca Cola, Pepsi, Marlboro, Volkswagen, and SKF. Big Companies like Energoinvest, UNIS, Hidrogradnja, Vranica, RMK Zenica, TAS Sarajevo, FAMOS Sarajevo, and BNT Novi Travnik, have a yearly income in billions of USD$ in that time. Building sector companies bringing large amounts of income in USD$. Unemployment at that time is very low. The workforce is highly skilled, with highly professional, educated managers, engineers, science experts, which use western world's newest technologies in large scale areas. Before the war, Yugoslav premier Ante Markovi?, made some preparations for privatization, in economy, finance, and industry sectors, but the war ceased development in these actions.
The war in Bosnia and Herzegovina caused production to plummet by 80% from 1992 to 1995 and unemployment to soar. With an uneasy peace in place, output recovered in 1996–99 at high percentage rates from a low base; but output growth slowed in 2000–02. Part of the lag in output was made up in 2003–05. National-level statistics are limited and do not capture the large share of black market activity.
The konvertibilna marka (convertible mark or BAM) - the national currency introduced in 1998 - is pegged to the euro, and confidence in the currency and the banking sector has increased. Implementation of privatization, however, has been slow, and local entities only reluctantly support national-level institutions. Banking reform accelerated in 2001 as all; foreign banks, primarily from Western Europe, now control most of the banking sector. A sizeable current account deficit and very high unemployment rate remain the two most serious economic problems. The country receives substantial amounts of reconstruction assistance and humanitarian aid from the international community but will have to prepare for an era of declining assistance.
The United States Embassy in Sarajevo, Bosnia, and Herzegovina produces the Country Commercial Guide – an annual report that delivers a comprehensive look at Bosnia and Herzegovina's commercial and economic environment, using economic, political, and market analysis. It can be viewed on Embassy Sarajevo's website.
As of October 2012, the IMF has approved a two-year stand-by arrangement of 405.3 million euro for Bosnia. The IMF loan, approved on September 26, is designed to support Bosnia's economic programme for the next two years, ease the effects of the " external environment and address domestic structural weaknesses" Bosnia's two autonomous entities will be using the cash from the loan but will not get the whole amount at once. The IMF has enabled an initial disbursement of 60.8 million euro, saying that the rest of the money will be spread out over two years, after successful quarterly reviews.
Bosnia and Herzegovina is a region that traces permanent human settlement back to the Neolithic age, during and after which it was populated by several Illyrian and Celtic civilizations. Culturally, politically, and socially, the country has a rich history, having been first settled by the Slavic peoples that populate the area today from the 6th through to the 9th centuries AD. In the 12th century the Banate of Bosnia was established, which evolved into the Kingdom of Bosnia in the 14th century, after which it was annexed into the Ottoman Empire, under whose rule it would remain from the mid-15th to the late 19th centuries. The Ottomans brought Islam to the region, and altered much of the cultural and social outlook of the country. This was followed by annexation into the Austro-Hungarian Monarchy, which lasted up until World War I. In the interwar period, Bosnia was part of the Kingdom of Yugoslavia and after World War II, the country was granted full republic status in the newly formed Socialist Federal Republic of Yugoslavia. Following the dissolution of Yugoslavia, the country proclaimed independence in 1992, which was followed by the Bosnian War, lasting until late 1995.
Today, the country maintains high literacy, life expectancy and education levels and is one of the most frequently visited countries in the region, projected to have the third highest tourism growth rate in the world between 1995 and 2020. Bosnia and Herzegovina is regionally and internationally renowned for its natural beauty and cultural heritage inherited from six historical civilizations, its cuisine, winter sports, its eclectic and unique music, architecture and its festivals, some of which are the largest and most prominent of their kind in Southeastern Europe. The country is home to three main ethnic groups or, officially, constituent peoples, as specified in the constitution. Bosniaks are the largest group of the three, with Serbs second and Croats third. A native of Bosnia and Herzegovina, regardless of ethnicity, is identified in English as a Bosnian. The terms Herzegovinian and Bosnian are maintained as a regional rather than ethnic distinction, and the region of Herzegovina has no precisely defined borders of its own. Moreover, the country was simply called "Bosnia" until the Austro-Hungarian occupation at the end of the 19th century.
Bosnia and Herzegovina has a bicameral legislature and a three-member Presidency composed of a member of each major ethnic group. However, the central government's power is highly limited, as the country is largely decentralized and comprises two autonomous entities: the Federation of Bosnia and Herzegovina and Republika Srpska, with a third region, the Br?ko District, governed under local government. The Federation of Bosnia and Herzegovina is itself complex and consists of 10 federal units – cantons. The country is a potential candidate for membership to the European Union and has been a candidate for North Atlantic Treaty Organisation membership since April 2010, when it received a Membership Action Plan at a summit in Tallinn. Additionally, the country has been a member of the Council of Europe since April 2002 and a founding member of the Mediterranean Union upon its establishment in July 2008.
The Bosnia and Herzegovina convertible mark is the currency of Bosnia and Herzegovina. It is divided into 100 pfenigs or fenings , and locally abbreviated KM. The convertible mark was established by the 1995 Dayton Agreement. It replaced the Bosnia and Herzegovina dinar, Croatian kuna and Republika Srpska dinar as the single currency of Bosnia and Herzegovina in 1998. Mark refers to the German mark, the currency to which it was pegged at par.
|National Song||"Državna himna Bosne i Hercegovine"|
|Currency||Bosnia and Herzegovina convertible mark (BAM)|
|GDP / GDP Rank||42.234 Billion USD|
|GDP Growth Rate||2.8 Percent|
|GDP Per Captial||$10957.542 (PPP)|
High Representative – Valentin Inzko
Presidency[δ]- Milorad Dodik (as Chairman)
|Website||Go to the web|
|Public Debt||44.368 Percent|
|Unemployment Rate||25.761 Percent|
|Labor Force (Occupation)||-|