1. Regional cooperation and FDI inflow Docent dr. Maida Bećirović
Sarajevo, November 2017

2. FIPA – Who we are? Foreign Investment Promotion Agency (FIPA):
- state Agency
- maximize the flow of FDI into Bosnia and Herzegovina
- encourage existing foreign investors to expand and develop their businesses in B&H
Provide information on:
- Legal framework for foreign direct investment
- Macroeconomic indicators
- Business environment
- Investment projects, privatization opportunities, available tenders
Support you :
- during project implementation: preliminary stage and market research, the business establishment phase,
- to organize meetings to the investment location and with relevant projects owners
- to organize meetings with relevant ministries or departments at different levels of government
-aftercare program

3. The region is a competition or an opportunity ?!
Regional cooperation and FDI inflow
The region is a competition or an opportunity ?!

4. What can the Western Balkans offer investors?
Regional cooperation and FDI inflow
What can the Western Balkans offer investors?
□ Prospective EU membership
□ Macroeconomic stability
□ Strategic geographic location
□ Diverse economies
□ Favourable taxes
□ Low labour costs combined with a relatively educated population

5. What can the Western Balkans offer investors?
Regional cooperation and FDI inflow
What can the Western Balkans offer investors?
□ Prospective EU membership:
- all aspire to membership of the European Union
- attracting foreign investment will be vital for achieving this goal

6. What can the Western Balkans offer investors?
Regional cooperation and FDI inflow
What can the Western Balkans offer investors?
□ Macroeconomic stability:
- high degree of macroeconomic stability
- Stable exchange rate regimes (rate immovable vis-à-vis the euro )
- low inflation for many years

7. What can the Western Balkans offer investors?
Regional cooperation and FDI inflow
What can the Western Balkans offer investors?
□ Strategic geographic location:
- geographic position between the East and West
- easy and free access to EU markets
- the Pan-European corridors X, VII and Vc
- “One Belt, One Road” initiative

8. What can the Western Balkans offer investors?
Regional cooperation and FDI inflow
What can the Western Balkans offer investors?
□ Operating costs – significantly lower than in EU:

9. What can the Western Balkans offer investors?
Regional cooperation and FDI inflow
What can the Western Balkans offer investors?
□ Favourable taxes:

10. What can the Western Balkans offer investors?
Regional cooperation and FDI inflow
What can the Western Balkans offer investors?
□ Low labour costs combined with a relatively
educated population:
Unit labour costs

11. What can the Western Balkans offer investors?
Regional cooperation and FDI inflow
What can the Western Balkans offer investors?
□ Diverse economies:
- Energy sector
- Agriculture-intensive region
- Transport infrastructure
- Tourism
- Metal sector
- Inovation

12. Regional cooperation and FDI inflow FDI in Western Balkans, mil EUR
source: data of states national banks

13. Top investors countries in the Western Balkans States
Regional cooperation and FDI inflow
Top investors countries in the Western Balkans States
source: data of states national banks

14. What can the region do, to attract higher levels of FDI?
Regional cooperation and FDI inflow
What can the region do, to attract higher
levels of FDI?
- Creating a simple, reliable investment framework...
- Administration - service of the economy no obstacle...
- Improve competitiveness of our economy...
- Strengthen Regional economic cooperation ...
- Improve image...

15. FIPA - Foreign Investment Promotion Agency of B&H

17. Spa tourism projects in B&H
Estimated total investment cost
Inputs required from foreign partner
Form of cooperation with foreign partner KM
app EUR KM
app EUR
Joint venture
VIŠEGRAD SPA, VIŠEGRAD
Estimated total investment cost
Inputs required from foreign partner
Form of cooperation with foreign partner
8.35 million KM ( 4,27 million EUR)
6.9 million KM
( app. 3.5 million EUR)
Joint venture, Concession, PPP
Spa tourism projects in B&H
ЈАHОRINА ЕCО WELLNESS, JAHORINA MOUNTAIN
Estimated total investment cost
Inputs required from foreign partner
Form of cooperation with foreign partner
5.8 million
EUR
Joint venture

18. SPORTS AND RECREATION CENTRE CAJUŠA, KUPRES
Estimated total investment cost
Form of cooperation with foreign partner
Investment cost of the project will be agreed in collaboration with strategic
partner
Public
Private Partnership
JAHORINA 5 * HOTEL
Winter tourism projects in B&H
Estimated total investment cost
Form of cooperation with foreign partner
29.4 million EUR
Joint venture
SPORTS AND RECREATION CENTRE CAJUŠA, KUPRES
Estimated total investment cost
Form of cooperation with foreign partner
4.5 million EUR
Joint venture

19. Recreation, Sport and Adventure tourism projects in B&H
Estimated total investment cost
Inputs required from foreign partner
Form of cooperation with foreign partner
2 million EUR
1,600, 000 EUR
Joint
ventures, sales
Recreation, Sport and Adventure tourism projects in B&H
HOTEL COMPLEX, HIPPODROME, SPORT & RECREATIONAL CENTRE, ČAPLJINA
Estimated total investment cost
Inputs required from foreign partner
Form of cooperation with foreign partner
7 million EUR
EUR
Joint venture

20. Sea tourism projects in B&H
TOURISM RESORT “GOLDEN SHELL”, NEUM
Estimated total investment cost
Inputs required from foreign partner
Form of cooperation with foreign partner
50 million EUR
50 million EUR
Joint venture
Sea tourism projects in B&H

21. IN BOSNIA AND HERZEGOVINA
CONSTRUCTION SECTORC
IN BOSNIA AND HERZEGOVINA
Balkan Distribution Center, Sarajevo
Business & Entertainment Centre, Sarajevo
Metalurg City Centre, Zenica
New Business-Commercial Centre, Sarajevo
Senior Accommodation, Busovaca
Trading Centre, VMC Mall, Sarajevo
Traffic Business Centre, Sarajevo
Young Entrepreneurship Centre RRC Juzni logor, Mostar
Residential and business centre EUREKA, Banja Luka
FIPA - Foreign Investment Promotion Agency of B&H

22. REGIONAL BUSINESS - TOURIST AIRPORT, BIHAC
Estimated total investment cost
Inputs required from foreign partner
Form of cooperation with foreign partner
EUR
EUR
Joint venture
PPP
FIPA - Foreign Investment Promotion Agency of B&H
REGIONAL BUSINESS - TOURIST AIRPORT, BIHAC
Estimated total investment cost
Inputs required from foreign partner
Form of cooperation with foreign partner
EUR
Joint venture
PPP

23. FIPA - Foreign Investment Promotion Agency of B&H
Estimated total investment cost
Inputs required from foreign partner
Form of cooperation with foreign partner
EUR
EUR
Joint venture, Sale
FIPA - Foreign Investment Promotion Agency of B&H
2. MULTIPLEX BUSINESS AND ENTERTAINMENT CENTRE, SARAJEVO
Estimated total investment cost
Inputs required from foreign partner
Form of cooperation with foreign partner
EUR
EUR
Joint venture

24. www.fipa.gov.ba Automotive Parts and Manufacturing
Availability of research and development institutes
6 Faculties of Mechanics)
Quality production – ISO and industry certificates
Infrastructure in place and energy sources available at lower costs then in surrounding countries
Geographical proximity to automotive manufacturing base in Europe allows foreign investors low distribution costs and “just-in-time” production delivery
Constant export growth and reputable customers

25. THANK YOU! FIPA Sarajevo Grbavička 4 Tel: +387 33 278 092
Fax:
Banja Luka
Ðure Daničića 1/III
Tel/ Fax: :
Mostar
Rade Bitange 30
Tel/Fax: