Invest in Bosnia in detail

In the aftermath of the civil war in Bosnia, governments tried to recover from the war, overcome the effects of this war, rebuild themselves and keep pace with European progress in the surrounding countries. Foreign Investment. The following is a comprehensive study of investment in Bosnia.

Why invest in Bosnia specifically? 

The answer to this question includes many points that must be addressed as follows:

Strengths: 

• The rate of inflation is less than 5% per year, that is, thus it is one of the least countries in the region in inflation rates. 
•  The growth rate is 5% per year, which means that it is one of the fastest growing countries in its region. 
•  Bosnia has a stable currency in the region and is directly linked to the euro. 
•  Bosnia is a candidate for the World Trade Organization and the European Union. 
•  Development of the banking sector in Bosnia. 
•  Income tax is 10%, a very small percentage. 

Weaknesses: 

•  Weakness in the judicial basis. 
•  Lack of transparency in the work procedures, especially in public tenders. 
•  It is well known that the state is divided into two governmental entities, creating legal and organizational complexities. 

Factors of economic stability in Bosnia: 

•  The economy of Bosnia is characterized by many factors and natural and industrial resources in addition to its stable currency and low inflation. 
•  The existence of coal mines and minerals of iron, steel, copper, lead and ear and others, in addition to wood, furniture, textile, leather shoes, auto assembly plants, aircraft and oil refining. 
•  Bosnia enjoys a wealth of water to the availability of many rivers and lakes, which allows the production of electricity and electricity and electricity, Bosnia is also exporting electricity to some neighboring countries. 
•  The proportion of fertile land in Bosnia reaches 50% as it enjoys an excellent agricultural climate and diversity of agricultural production in addition to various agricultural industries. 
•  The presence of the largest European banks in Bosnia, after reforming the banking system and increasing investments. 
•  Bosnia has achieved economic growth of 5% per year due to successive governments' efforts in economic reform in addition to social and political reforms after entering into negotiations to join the European Union, and is currently negotiating accession to the World Trade Organization. 
•  Supporting the government to the agricultural, animal, industrial and other sectors and developing them, as well as the tourist sector and rehabilitation of tourist areas. 
•  The government privatized some sectors of the state and encouraged foreign investment. 
•  Government support for the export sector for the importance of Bosnia's economy, and trade agreements have been signed with the United States of America, Canada, Japan, Turkey, Russia and the European Union.

Factors to encourage investment in Bosnia: 

Investment in small and medium enterprises: 

This sector attracts considerable attention by the government in Bosnia because of the role of these projects in the production and employment, leading to the achievement of economic and social objectives and the sector of the pros and cons of the most important:

Pros in: 

•  No need for large capital. 
•  These projects provide goods and services to middle-income groups of society. 
•  The use of limited labor. 

The challenges are: 

•  Good selection of staff. 
•  Choosing the appropriate site for the project. 
•  Selecting a marketing method for the project. 
•  Securing project resources. 

Import and Export: 

•  Import and export in Bosnia is regulated and in accordance with European and international legal regulations. 
•  Full regulation and supervision of the transport, receipt and storage of goods in customs warehouses for importation. 
•  The importer or exporter should have a registered company in Bosnia to carry out the import and export activities. The company registered by the Ministry of Finance must obtain an approval and a customs number so that it can export and import the goods. 
•  The need to provide the necessary documents from the company and the most important:  

1. Bill of goods. 
2. Customs document. 
3. Bill of lading. 
4. Cargo insurance policy. 
5. Specialized inspection certificates. 
6. Proof of origin of goods. 

Agricultural investment: 

The agricultural area represents half of the area of ​​Bosnia, where almost the climate is suitable for agriculture and is known for the cultivation of fruits such as apples, cherries, plums, apricots, peaches, berries and grapes with varieties, vegetables, pulses and other crops.

There are several factors for the success of agricultural investment in Bosnia, including:

•  Availability of the appropriate geographical location. 
•  Availability of fertile land, water and climate appropriate. 
•  Use of agricultural products in different industries. 

The success of real estate investment: 

This investment is one of the most profitable investment in Bosnia. Bosnia is characterized by the availability of new urban areas for construction, especially after the government to improve the road networks and construction in new areas.

The success of investment in livestock: 

Breeding of livestock: The types of livestock in Bosnia, where raising cattle, goats and sheep, because of the availability of natural conditions of land and water and climate suitable and the availability of labor.

Poultry farming: It is profitable to invest in poultry because of the availability of the appropriate environment.

Water resources: Bosnia is one of the top 10 countries in the field of fish farming in Europe, where there are abundant rivers and lakes, so they export fish to European countries.

The success of the timber industry: 

Bosnia is characterized by forest abundance. Forests account for about 53% of the territory of Bosnia and are diversified in different trees, providing a fertile environment for the timber industry. Bosnia's timber industry has long been one of the important strategic sectors of Bosnia's economy.

Successful investment in animal products: 

For the production of meat, Bosnia exports different types of meat from fresh and frozen as well as dairy products, where investment is one of the lucrative opportunities in Bosnia for the availability of climate and nature appropriate.

Government standards to encourage foreign investment in Bosnia:

The government in Bosnia is encouraging foreign investors and enacting laws that will facilitate the investment process and support the financial institutions by:

•  ​​Establishing a free trade zone. 
•  Equality in dealing with domestic and foreign investors. 
•  Protect investors from the threat of nationalization or confiscation of property. 

How to establish a company in Bosnia: 

When a foreign company is established in Bosnia, a foreign investor needs a work and residence permit. There are three types of accommodation in Bosnia:

Residence for work, marriage or study. After obtaining the visa, it is possible to apply for annual residence through the Aliens Police Station. A married citizen or citizen of Bosnia or the holder of a work permit may obtain permanent residence in Bosnia after a period of five years, provided that the period in which the applicant for permanent residence leaves the country does not exceed two months in one year.

The documents required to establish a company in Bosnia: 

•  A certificate stating that there is no judicial judgment against the town. 
•  Photocopy of the passport in Bosnian language and certified by the juridical Turgoman and the Court. 
•  Copy of passport stamped by the municipality. 
•  Lease contract for the commercial property to be established by the company. 

How to facilitate foreign investment procedures in Bosnia: 

•  Foreign investor can have a private company in Bosnia except for certain conditions such as media. 
•  The foreign investor can buy shares in different joint stock companies. 
•  The foreign investor may enter into investments related to military industries, weapons and ammunition with a share not exceeding 49% of the project. 
•  For projects related to the protection of health and environment, the foreign investor shall have the same rights as the local investor. 

Advantages to foreign investors: 

•  Foreign investor is exempted from customs duties on investments. 
•  Has the right to open accounts in any commercial bank in Bosnia and in any currency, whether local or foreign. 
•  The foreign investor shall have the right to remittances in any amount and for any currency from the profit resulting from the investment. 
•  Foreign investor has the right to own property such as local investor. 
•  The right to employ foreign workers in accordance with the labor laws in Bosnia.