Ministers Visit Sarajevo International Airport to Highlight Accelerated Growth and Expansion of New Routes
The Minister of Foreign Affairs of Bosnia and Herzegovina, Elmedin Konaković, and the Minister of Economy of Sarajevo Canton, Zlatko Mijatović, visited Sarajevo International Airport, where they were hosted by acting director Sanin Ramezić and the Director of Airport Services, Vedrana Vikić-Musić.
The visit was organized to express support for the importance and work of Sarajevo International Airport. The discussions focused on the accelerated growth and development of the airport, with an emphasis on expanding flight connections and increasing the number of new routes. Full support was given for activities planned for 2025.
Minister Konaković expressed satisfaction with the significant increase in flight frequency planned for 2025. He welcomed the plans to expand the existing flight network, emphasizing that this is a shared success of Sarajevo International Airport, the Sarajevo Canton Government, and its relevant institutions. He also noted that this collaborative effort contributes to strengthening the tourism offer, supports economic development, and enhances the image of Sarajevo, and consequently Bosnia and Herzegovina as a whole.
Minister Mijatović highlighted that excellent results have been achieved through the incentive policies implemented by the Ministry of Economy of Sarajevo Canton in cooperation with Sarajevo International Airport and the Sarajevo Canton Tourist Board.
“Record passenger numbers and the expanded network of 16 routes in 2024 are just the beginning. The planned 23 subsidized routes for 2025 and 2026 will further improve Sarajevo Canton’s connectivity with the world, reducing seasonality and providing citizens with more affordable travel options,” said Minister Mijatović.
Expressing his satisfaction with the ministers’ visit, acting director Ramezić noted that the visit reinforces the importance of the airport as a key factor in the development of Bosnia and Herzegovina’s economy and tourism.
“We briefed the ministers on our current projects and future plans, and discussed opportunities for cooperation to strengthen Bosnia and Sarajevo’s connectivity with the world, as well as attracting new investments. We are pleased that Minister Konaković recognized the potential of Sarajevo Airport, which, in terms of service quality and infrastructure capacity, can compete with many global and European airports,” Ramezić emphasized.
The Ministry of Economy of the Sarajevo Canton informs the public that, starting from the beginning of 2025, the Law on Financial Incentives in Agriculture and Rural Development has come into effect in the Sarajevo Canton. This law represents a significant step towards aligning domestic regulations with EU standards and improving the agriculture and rural development sectors.
“The innovations introduced by the Law include measures for direct support to production, income support for producers, including payments to young farmers for taking over farms. It also provides incentives for preserving biodiversity, landscapes, and the environment, as well as support for organic production based on the area of cultivated land and certification. Additionally, new measures include support for rural development, encompassing capital investments such as the procurement of machinery, equipment, and breeding livestock, encouraging the development of rural tourism, processing of agricultural products, diversification of the rural economy, and agri-environmental measures to mitigate climate change. We particularly highlight measures for general agricultural services, which include knowledge and skills transfer through education and professional support, incentives for research and innovation in agriculture, as well as preventive measures and accountability. The Law also stipulates that if misuse or improper spending of funds is established, the beneficiary is obliged to return the funds within 30 days and is banned from applying for incentives for the next five years,” explained Zlatko Mijatović, the Minister of Economy of Sarajevo Canton.
The Law is accompanied by a Regulation on Financial Incentive Measures, Conditions for Eligibility, and Procedures for Exercising the Right to Incentives. The Regulation specifies the types of incentives, eligibility conditions, and the documentation required for application.
Significant changes and innovations have been introduced with the aim of strengthening agricultural production and improving rural areas. Special focus is placed on young farmers, who can now receive multi-year incentives for taking over farms, while forage crop production is included for the first time. The threshold for milk production incentives has been raised to 600 liters per head, encouraging increased production. New incentives have also been introduced for the preservation of endangered domestic animal breeds, such as the Bosnian mountain horse and the Tornjak dog.
The new Regulation also supports the diversification of the rural economy through investments in product processing, rural tourism, and agri-environmental measures that mitigate the effects of climate change. Additionally, capital investments in modern equipment, such as agricultural drones and meteorological stations, as well as rural infrastructure, are enabled. For the first time, farmers can, as part of capital investments, procure beef cattle heifers. These measures are aimed at increasing farmers’ competitiveness, preserving traditions, and improving the quality of life in rural communities.
The Law is the result of years of work, consultations with the academic community, experts, and the Cantonal Administration for Inspection Affairs. For the first time, rural development is recognized at the cantonal level as a key segment of agricultural policy. This document is harmonized with EU policies, ensuring financial incentives that are secure, flexible, and geared toward sustainable development.
The Ministry invites all agricultural producers in the Sarajevo Canton to familiarize themselves with the new rules and opportunities and to utilize the available incentives for the development of their farms. Detailed information can be obtained through the official channels of the Ministry of Economy of Sarajevo Canton.
The Minister of Economy of Sarajevo Canton, Zlatko Mijatović, signed contracts with representatives of three companies that applied for the Direct Foreign Investment Incentive Program – support for the establishment of a legal entity founded by a foreign investor – and met the required criteria.
This program was implemented as a pilot project this year and has already proven to be highly successful in its first year. Through this initiative, the Ministry of Economy of Sarajevo Canton supported the establishment of new companies that bring significant investments to the Canton. Among these are firms specializing in accounting services for international markets, expanding activities in the textile trade sector, and undertaking projects in the area of final construction works. The Ministry provided support totaling 209,997 BAM, while the total investment value will reach nearly half a million BAM through additional founder contributions.
The program’s aim is to attract direct foreign investments, strengthen the economy of Sarajevo Canton, and create new jobs. As Minister Mijatović emphasized, the incentives enable small and medium-sized enterprises from abroad to establish companies headquartered in Sarajevo Canton, thereby strengthening economic ties and boosting the competitiveness of the local economy.
“This program represents a significant step forward in attracting foreign investments. Although it was implemented as a pilot project this year, we can confidently say that the program has been highly successful, and we look forward to next year with great expectations for a larger number of applications and even greater investment volumes,” Minister Mijatović stated.
By concluding these agreements, all 11 programs for the development of small businesses in Sarajevo Canton for this year have been finalized. A total of 413 contracts were signed, and 11,350,000 BAM was returned to the economy through various programs, which is 47% more than the previous year.
Bosnia and Herzegovina’s gross domestic product (GDP) increased by 2.6% year-on-year in real terms in the third quarter of 2024, up from a revised annual growth rate of 2.3% in the previous quarter, the country’s statistical office said.
On a quarterly basis, GDP grew by 0.7% in seasonally adjusted terms during the July–September period, maintaining the same growth rate as the preceding three months ending in June, the statistical office said earlier this week in a first estimate made using the expenditure approach.
In the third quarter of 2024, compared to the same quarter of the previous year, all categories of GDP by the expenditure approach showed a real increase, with the most significant rise observed in gross capital formation, which grew by 8.7%.
Bosnia’s economy grew by 1.6% in 2023, following an annual increase of 3.8% in 2022.
The country’s central bank expects Bosnia’s economy to expand by 2.3% on the year in 2024, it said in December.
The Government of the Federation of Bosnia and Herzegovina, during today’s session held in Sarajevo and chaired by Deputy Prime Minister Vojin Mijatović on behalf of the Prime Minister, approved the Decision on the Minimum Wage for 2025. The proposal was submitted by the Federal Ministry of Finance following consultations with the Economic and Social Council.
The decision stipulates that the minimum net wage for the period from January 1 to December 31, 2025, will be set at 1,000 KM (approximately 511 EUR). This decision also applies to Sarajevo Canton.
This decision comes into effect immediately upon adoption and will be published in the Official Gazette of the Federation of Bosnia and Herzegovina.
As explained, under Article 6, Paragraph (1) of the Regulation on the Methodology for Calculating and Adjusting the Minimum Wage, the Government of the Federation of Bosnia and Herzegovina is required to determine the minimum wage for the following calendar year by December 31 of the current year. The minimum wage for the upcoming year is either adjusted in accordance with Article 5 of the Regulation or set at a higher amount than the adjusted wage, provided it is not lower than the minimum wage established for the previous year.
For 2025, the minimum wage has been set in accordance with Article 6, Paragraph (3) of the Regulation, at a level higher than what would have resulted from adjustments. Consequently, the minimum net wage for the period from January 1 to December 31, 2025, has been determined at 1,000 KM.
The Cantonal Agency for Attracting Investments and Privatization has taken significant steps toward fostering economic growth in Sarajevo Canton by organizing a series of productive meetings with representatives from municipalities. These discussions revolved around planned investment projects and collaborative efforts to attract both domestic and international investors.
Among the participants were the Mayor of Novo Sarajevo, Benjamin Karić, and her team; the Mayor of Ilijaš, Amar Dovadžija; and representatives from the municipalities of Vogošća and Stari Grad. These meetings served as a platform to align on future strategies and to address the potential of leveraging the newly enacted Public-Private Partnership Law to implement development projects.
During the meetings, participants agreed on the importance of continued cooperation, with a focus on maximizing the opportunities provided by this legislative framework. Discussions also highlighted the critical role of local authorities in identifying and supporting high-impact projects that could unlock new avenues for economic development in the region.
Adnan Jašarević, Director of the Cantonal Agency, emphasized the significance of these partnerships, stating: “Collaboration with local authorities is essential for realizing investments, attracting capital, and driving stronger economic development. There is mutual energy and readiness to launch major projects and fully leverage the investment potential within the Canton. Municipalities are the key link, and I am confident we will work together in the interest of our citizens.”
These meetings mark a crucial step toward establishing a unified approach to investment and development across Sarajevo Canton. With a shared vision and commitment, the Cantonal Agency and local governments aim to turn the region into a hub of sustainable economic growth and innovation.
The Master Plan for Bjelašnica-Igman as a year-round tourist destination was presented today at the Monti Hotel on the Olympic mountain of Igman.
Bjelašnica and Igman represent the largest and most promising area for the development of a sports and recreational tourism destination, and are considered a true gem of Sarajevo Canton.
Although Bjelašnica was originally developed as a venue for the 1984 Winter Olympics, the area is much more than just a ski resort. It is a synonym for winter sports, a favorite outing spot for many citizens of Bosnia and Herzegovina, and at the same time, the greatest potential for developing the sports and tourism sector of Sarajevo Canton, as emphasized during the presentation.
“Four years ago, we began a new investment cycle focused on the development and renewal of sports infrastructure, primarily on Bjelašnica. To date, we have invested 34 million BAM, completing numerous projects such as the renewal of vertical transport, the construction of a 15-kilometer snowmaking system that meets the highest global standards, and the enhancement of various facilities,” stated Zlatko Mijatović, Minister of Economy.
He further explained that all investments were based on existing locations, ensuring compliance with valid regulatory plans that were drawn up in 1981 for the Olympic Games.
“The very fact that Bjelašnica-Igman is one of the most visited outing spots clearly shows that the 1981 plan was successful, with sports infrastructure primarily focused on winter tourism. However, with climate change being evident, it is clear that ski resorts must be transformed into year-round tourist destinations, and the construction of winter sports facilities must be based at higher altitudes. Considering these facts, nearly two years ago, we began developing the Master Plan for Bjelašnica-Igman as a year-round tourist destination,” the Minister noted.
He also mentioned that they took into account the experiences of European Union countries that have already gone through similar processes and stated that they wanted to incorporate the best practices from these countries. The European Union supported the creation of the master plan for Bjelašnica-Igman through financial assistance.
“The European Union provided financial support and entrusted the project to Input Project, one of the world’s leading companies in tourism destination development. In addition to Austrian consultants, local experts were involved to ensure that the project documentation aligns with Bosnia and Herzegovina’s legislation,” he explained.
According to Jasmin Mehić, Director of ZOI ’84, the main goal of the project is summarized in three key tasks:
Transforming Bjelašnica-Igman from a ski destination into a year-round sports and recreational tourism destination.
Connecting Bjelašnica and Igman with ski slopes, bike trails, and walking paths.
Elevating ski slopes to higher altitudes.
He also mentioned that consultants followed current spatial planning documents during the project’s development, ensuring that the goal was to maintain the area as the largest sports and tourist destination. The project does not address the construction and urban planning zones, as that is a separate segment of planning.
Minister Mijatović emphasized that the Master Plan is a vision for the development of the Bjelašnica-Igman area from a sports-tourism perspective, and that in the future, it will be crucial to align tourism development goals with nature conservation objectives.
Sustainable tourism development is one of the key economic sectors for Sarajevo Canton, and ZOI ’84 is the first public company to clearly present its development vision.
The EU funded the creation of the master plan.
Stefano Ellero, Head of Cooperation at the EU Delegation in Bosnia and Herzegovina, expressed his satisfaction that the EU was able to help in creating an important document for the development of tourism in Sarajevo Canton. He also hopes that Bjelašnica and Igman, together with the Sarajevo airport, will become key players in enhancing the region’s tourism offerings.
“Sarajevo has great potential, and I am always happy when we can contribute to the development of Sarajevo, Bosnia and Herzegovina, and its tourism. The EU is always ready to support tourism development in Bosnia and Herzegovina. I would like to thank Director Mehić and his entire team, and I look forward to continued cooperation,” said Ellero.
Hannes Triebnik, Director of Input Project Development, which has been working in this field for over 20 years, along with Ernst & Young d.o.o. and PPG d.o.o. who were also involved in the project, said it was an honor to work on such a significant project with historical importance.
“Sarajevo is an Olympic city, and it has been a great pleasure to work on transforming Bjelašnica-Igman from an exclusively winter destination into a year-round sports and recreational destination,” stated Triebnik.
In 2024, the Ministry of Economy of Sarajevo Canton has maintained its strong commitment to supporting local agricultural producers through an ongoing subsidy program. This initiative is designed to promote agricultural development and enhance the stability of food production in the region.
By October 2024, the Ministry had processed a total of 2,281 cases, with 564 of them being handled in the month of October alone. This significant progress highlights the Ministry’s efforts to streamline the administrative process and expedite the resolution of requests from agricultural producers. As a result, the response time has notably improved, ensuring quicker support for farmers in need.
In terms of financial assistance, the Ministry has disbursed a total of 7,787,865.63 KM in subsidies since the start of the year, with 2,165,583.81 KM being allocated just in October. These payments reflect the government’s ongoing dedication to the agricultural sector, fostering a more sustainable and resilient farming environment within the canton.
The Ministry’s focus remains on providing transparent, efficient, and timely service to agricultural producers. By strengthening the capacity of farmers and improving the conditions in which they operate, the Ministry aims to bolster the agricultural industry and contribute to the economic stability of Sarajevo Canton.
This effort not only addresses immediate needs but also contributes to the long-term growth and competitiveness of the region’s agricultural production. Through continuous support and targeted investments, the Ministry is helping to lay the groundwork for a prosperous future for the agricultural community.
Complex d.o.o Sarajevo stands as a shining example of business success, made possible through the support of the Government of Sarajevo Canton. Thanks to the favorable credit program for small businesses offered by the Ministry of Economy, this company has been able to implement its business plan, expand its operations, and strengthen its position as a market leader in Bosnia and Herzegovina.
The company is the exclusive distributor of 25 premium Italian brands, primarily raw materials for the hospitality industry, and has become one of the top players in its field in the Bosnian market.
Founded in 2006 by Almira Hadžiosmanović, Complex d.o.o. started with the goal of enriching the local coffee market with one of the best global products. Over the years, it has grown into one of the leading companies in its sector, which is reflected in its extensive list of partners and customers.
Two years ago, Complex d.o.o. applied for a public call from the Ministry of Economy of Sarajevo Canton. This decision proved to be pivotal, helping them secure a loan and realize their business vision by building a state-of-the-art facility in Vogošća.
“I had already purchased land and had a construction plan, but I was hesitant to make such a large investment. Thanks to the Ministry’s public call for subsidies, which covered 100% of the interest rate, we were able to secure a loan of 1 million KM and bring this idea to life,” explained Hadžiosmanović. Today, the company employs 75 people, with plans to expand further in the next five years and become the largest distributor of raw materials for the Horeca and Retail sectors in the Federation of Bosnia and Herzegovina. In the coming year, the company plans to hire an additional 25 workers.
The support from the Government of Sarajevo Canton through the Ministry of Economy has been a key factor in this success story. The program, which continues to thrive, has provided critical funding and resources for small businesses to grow.
“Through our Ministry of Economy, we have implemented measures to stimulate the development of small businesses, and one of the most successful has been the favorable credit financing program. Over the years, we’ve allocated a total of 21.16 million KM to subsidize interest rates for small businesses, and in 2024, we’ve set aside 3 million KM for this initiative,” said Prime Minister Nihad Uk.
He further emphasized that since 2019, small businesses have been able to receive 100% interest rate subsidies on loans through this program, confirming its effectiveness in supporting growth.
“This program is one of the most successful initiatives of the Ministry of Economy and the Government of Sarajevo Canton. The results we see in companies like Complex d.o.o. confirm that we are on the right path to creating a favorable business environment and driving economic growth. We will continue to support our entrepreneurs and collaborate with them to create new measures for strengthening the economy of Sarajevo Canton,” concluded Prime Minister Uk.
A public invitation to participate in the bond issuance of the Federation of Bosnia and Herzegovina through an auction on the Sarajevo Stock Exchange. Three bond auctions are planned, totaling 250 million BAM:
📅 December 4, 2024
➡️ Issuance amount: 50,000,000 BAM
🕒 Maturity period: 7 years
📅 December 5, 2024
➡️ Issuance amount: 150,000,000 BAM
🕒 Maturity period: 5 years
📅 December 10, 2024
➡️ Issuance amount: 50,000,000 BAM
🕒 Maturity period: 3 years
📜 Additional Information about the Auctions:
🔹 Auction type: Primary market auction
📊 Price type: Yield to maturity rate
💵 Coupon: To be determined after the auction
⚖️ Auction method: Multiple price format
🕔 Interest payment: Semi-annual, from the settlement date
🏦 Principal payment: Lump sum on the maturity date
🔐 Bond type: Fixed coupon bond
💶 Currency: Convertible mark (BAM)
📈 Why Invest?
✅ Security of FBiH bonds ✅ Long-term return (investors specify the desired yield percentage in the auction) ✅ Direct participation through authorized brokerage firms on the SASE
👉 How to Participate?
Applications are open to all legal and natural persons via brokers at the Sarajevo Stock Exchange. More information is available at www.sase.ba or through authorized brokers:
