Bosnia and Herzegovina

Total Page:16

File Type:pdf, Size:1020Kb

Bosnia and Herzegovina Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized Public Disclosure Authorized Rebalancing BosniaandHerzegovina A SystematicCountryDiagnostic Europe and Central Asia Region Rebalancing Bosnia and Herzegovina A Systematic Country Diagnostic November 2015 Regional Vice President: Cyril Muller IFC Vice President: Dimitris Tsitsiragos Country Directors: Ellen Goldstein IFC Regional Director: Tomasz Telma Senior Directors: Marcelo Giugale / Anabel Gonzalez / Ana Revenga Practice Managers: Paloma Casero / Ivailo Izvorski Task Team Leaders: Lada Busevac / Simon Davies / Wolfgang Fengler / George Konda CURRENCY EQUIVALENTS Exchange Rate Effective: August 5, 2015 Currency Unit: BAM BAM 1.79 = US$ 1 Fiscal Year [2016] [January 1—December 31] World Bank Group Toranj B, 17, sprat, Fra AnđelaZvizdovića 1/B/17, 71000 Sarajevo, Bosnia and Herzegovina Telephone: +387 33 251-500 Email: [email protected] Website: www.worldbank.org/bosnia Standard disclaimer This report is a product of the staff of the The World Bank Group comprising the International Bank for Reconstruction and Development (IBRD), the International Finance Corporation (IFC) and the Multilateral Investment Guarantee Agency (MIGA). The findings, interpretations, and conclusions expressed in this paper do not necessarily reflect the views of the Executive Directors of The World Bank Group or the governments they represent. The World Bank Group does not guarantee the accuracy of the data included in this work. The boundaries, colors, denominations and other information shown on any map in this work do not imply any judgment on the part of The World Bank Group concerning the legal status of any territory or the endorsement or acceptance of such boundaries. Copyright statement: This work by The World Bank Group is licensed under a Creative Commons Attribution 4.0 International License (http://creativecommons. org/licenses/by/4.0/). Under the Creative Commons Attribution license, you are free to copy, distribute, transmit, and adapt this work, including for commercial purposes, under the following conditions: Attribution – Please cite the work as follows: World Bank. 2015. Rebalancing Bosnia and Herzegovina: A Systematic Country Diagnostic. Washington, D.C.: The World Bank Group. Translations – If you create a translation of this work, please add the following disclaimer along with the attribution: This translation was not created by The World Bank Group and should not be considered an official World Bank Group translation. The World Bank Group shall not be liable for any content or error in this translation. Adaptation – If you create an adaptation of this work, please add the following disclaimer along with the attribution: This is an adaptation of an original work by The World Bank Group. Views and opinions expressed in the adaptation are the sole responsibility of the author or authors of the adaptation and are not endorsed by The World Bank Group. Third-party content – The World Bank Group does not necessarily own each component of the content contained within the work. The World Bank Group therefore does not warrant that the use of any third-party-owned component or part contained in the work will not infringe on the rights of those third parties. The risks of claims resulting from such infringement rests solely with you. If you wish to re-use a component of the work, it is your responsibility to determine whether permission is needed for that re-use and to obtain permission from the copyright owner. Examples components can include, but are not limited to, tables, figures, or image. All queries on rights and licenses should be addressed to the Publishing and Knowledge Division, TheWorld Bank, 1818 H Street NW, Washington, DC 20433, USA; fax: 202-522-2625; e-mail: [email protected]. TABLE OF CONTENTS Team members and acknowledgements .......................................................................................................................... i Abbreviations .................................................................................................................................................................. ii Executive summary ......................................................................................................................................................... v Bibliography ................................................................................................................................................................ 121 1. The Country Context .........................................................................................................................................1 1.1 History: Yugoslavia and BiH in Yugoslavia .......................................................................................................... 1 1.2 Population challenges: aging and shrinking ........................................................................................................ 3 1.3 Institutions and political economy ..................................................................................................................... 4 2. Poverty and Shared Prosperity .......................................................................................................................15 2.1 Poverty dynamics .............................................................................................................................................. 15 2.2 Drivers of poverty reduction .............................................................................................................................18 2.3 Persistence of characteristics of the poor and B40 ........................................................................................... 20 2.4 Rural livelihoods ................................................................................................................................................ 24 2.5 Social and political exclusion .............................................................................................................................27 2.6 The roadmap for ending poverty and creating shared prosperity .................................................................... 30 3. Restoring growth and creating jobs.................................................................................................................33 3.1 Economic performance ..................................................................................................................................... 34 3.2 Fiscal position ................................................................................................................................................... 39 3.3 Financial sector development and inclusion ..................................................................................................... 48 3.4 Private sector development .............................................................................................................................. 50 3.5 Forests: An under-utilized asset ..................................................................................................................... 60 3.6 Infrastructure services ...................................................................................................................................... 62 3.7 Making labor markets and social welfare work ................................................................................................ 73 3.8 Emerging issues and reform areas: Restoring growth and creating jobs .......................................................... 81 4. Promoting social inclusion ..............................................................................................................................85 4.1 Health service delivery and efficiency .............................................................................................................. 86 4.2 Education service delivery and efficiency ......................................................................................................... 91 4.3 Access to water and sanitation .........................................................................................................................97 4.4 Emerging issues and reform areas: Promoting social inclusion ........................................................................ 99 5. Managing risks for sustainable growth ......................................................................................................... 101 5.1 Environmental and climate risks ..................................................................................................................... 101 5.2 Social risk ........................................................................................................................................................ 106 5.3 Emerging issues and reform areas: Sustainability ........................................................................................... 107 6. Identifying priorities for accelerated, inclusive and sustainable growth ........................................................ 109 6.1 Priority-setting exercise ..................................................................................................................................111 6.2 Trade-offs and complementarities between reforms ..................................................................................... 115 6.3 Areas with significant knowledge gaps ..........................................................................................................
Recommended publications
  • Bosnia-Herzegovina
    10/21/2014 Organisations - Bosnia-Herzegovina Published on HEREIN System (http://www.herein-system.eu) Home > Organisations - Bosnia-Herzegovina Organisations - Bosnia-Herzegovina Country: Bosnia-Herzegovina Hide all 1.1.A Overall responsibility for heritage situated in the government structure. 1.1.A Where is overall responsibility for heritage situated in the government structure? Is it by itself, or combined with other areas? Ministry's name: Commission to Preserve National Monuments of Bosnia and Herzegovina 1.1.B Competent government authorities and organisations with legal responsibilities for heritage policy and management. Name of organisation: Commission to Preserve National Monuments of Bosnia and Herzegovina Address: Obala Kulina Bana 1 Post code: 71000 City: Sarajevo Country: Bosnia­Herzegovina Website: www.kons.gov.ba E­mail: [email protected] Approx. number of staff: 22.00 No. of offices: 1 Organisation type: Commission Approach Integrated approach Main responsibility: No Heritage management: Designation Financial support Site monitoring Research: Conservation/maintenance Documentation Field recording (photogrammetry..) Inventories Restoration Ownership and/or management No (maintenance/visitor access) of heritage properties: http://www.herein-system.eu/print/188 1/13 10/21/2014 Organisations - Bosnia-Herzegovina Archaeological Heritage Main responsibility: No Ownership and/or management of No heritage properties: Architectural Heritage Main responsibility: No Ownership and/or management No (maintenance/visitor access)
    [Show full text]
  • STATE BUILDING in DEEPLY DIVIDED SOCIETIES BEYOND DAYTON in BOSNIA Sofia Sebastian Aparicio
    STATE BUILDING IN DEEPLY DIVIDED SOCIETIES BEYOND DAYTON IN BOSNIA Sofia Sebastian Aparicio A Dissertation Submitted to the Department of Government of the London School of Economics in Fulfillment of the Degree of Doctor of Philosophy Department of Government London School of Economics October 2009 UMI Number: U615B05 All rights reserved INFORMATION TO ALL USERS The quality of this reproduction is dependent upon the quality of the copy submitted. In the unlikely event that the author did not send a complete manuscript and there are missing pages, these will be noted. Also, if material had to be removed, a note will indicate the deletion. Dissertation Publishing UMI U615B05 Published by ProQuest LLC 2014. Copyright in the Dissertation held by the Author. Microform Edition © ProQuest LLC. All rights reserved. This work is protected against unauthorized copying under Title 17, United States Code. ProQuest LLC 789 East Eisenhower Parkway P.O. Box 1346 Ann Arbor, Ml 48106-1346 T tte B S q (9 0 ot Porttce1 Declaration I certify that the thesis I have presented for examination for the MPhil/PhD degree of the London School of Economics and Political Science is solely my own work other than where I have clearly indicated that it is the work of others (in which case the extent of any work carried out jointly by me and any other person is clearly identified in it). The copyright of this thesis rests with the author. Quotation from it is permitted, provided that full acknowledgement is made. This thesis may not be reproduced without the prior written consent of the author.
    [Show full text]
  • Bosnia's Nationalist Governments
    BOSNIA'S NATIONALIST GOVERNMENTS: PADDY ASHDOWN AND THE PARADOXES OF STATE BUILDING 22 July 2003 Balkans Report N°146 Sarajevo/Brussels TABLE OF CONTENTS EXECUTIVE SUMMARY AND RECOMMENDATIONS................................................. i I. INTRODUCTION .......................................................................................................... 1 II. THE NEW CONTEXT OF THE 2002 ELECTIONS ................................................. 2 A. IMPLEMENTING THE CONSTITUTIONAL AMENDMENTS ..........................................................3 B. THE ALLIANCE FOR CHANGE IN OFFICE AND DECLINE..........................................................5 III. THE ELECTION CAMPAIGN .................................................................................... 7 A. NATION AND STATE ..............................................................................................................7 B. PROMISES, PROMISES............................................................................................................8 C. FOREIGN INTERVENTION IN THE CAMPAIGN ..........................................................................9 D. THE CAMPAIGN IN THE MEDIA............................................................................................10 IV. THE RESULTS............................................................................................................. 12 V. THE REACTIONS ....................................................................................................... 14 VI. THE SEVEN KEY
    [Show full text]
  • Bosnia and Herzegovina Investment Opportunities
    BOSNIA AND HERZEGOVINA INVESTMENT OPPORTUNITIES TABLE OF CONTENTS BOSNIA AND HERZEGOVINA KEY FACTS..........................................................................6 GENERAL ECONOMIC INDICATORS....................................................................................7 REAL GDP GROWTH RATE....................................................................................................8 FOREIGN CURRENCY RESERVES.........................................................................................9 ANNUAL INFLATION RATE.................................................................................................10 VOLUME INDEX OF INDUSTRIAL PRODUCTION IN B&H...............................................11 ANNUAL UNEMPLOYMENT RATE.....................................................................................12 EXTERNAL TRADE..............................................................................................................13 MAJOR FOREIGN TRADE PARTNERS...............................................................................14 FOREIGN DIRECT INVESTMENT IN B&H.........................................................................15 TOP INVESTOR COUNTRIES IN B&H..............................................................................17 WHY INVEST IN BOSNIA AND HERZEGOVINA..............................................................18 TAXATION IN BOSNIA AND HERZEGOVINA..................................................................19 AGREEMENTS ON AVOIDANCE OF DOUBLE TAXATION...............................................25
    [Show full text]
  • Bosnia and Herzegovina
    POLITICAL PLURALISM AND INTERNAL PARTY DEMOCRACY POLITICAL PLURALISM AND INTERNAL PARTY POLITICAL PLURALISM AND INTERNAL PARTY DEMOCRACY NATIONAL STUDY FOR BOSNIA AND HERZEGOVINA POLITICAL PLURALISM AND INTERNAL PARTY DEMOCRACY National Study for Bosnia and Herzegovina POLITICAL PLURALISM AND INTERNAL PARTY DEMOCRACY National Study for Bosnia and Herzegovina Publisher: Centar za monitoring i istraživanje CeMI UTICAJ PERSONALNOG GLASANJA NABul. UNUTARPARTIJSKU Josipa Broza 23A DEMOKRATIJU – SLUČAJ CRNA 81 000GORA Podgorica e-mail: cemi@t-com .me www.cemi.org.me Izdavač: For Publisher: Zlatko Vujović Editors: Nermina Mujagić Suad Arnautović Centar za monitoring i istraživanja CeMI Bul. Josipa Broza 23A Reviewer: 81 000 Podgorica Amer Osmić e‐mail: cemi@t‐com.me www.cemi.org.me Za izdavaAuthors:ča: Suad Arnautović Nermina Mujagić mr Zlatko Vujović Autori: Damir Kapidžić Amer Osmić Prof. dr Vladimir Goati Elma Huruz Prof. dr Srđan Darmanović Doc. dr Boris Vukićević Design: Studiomr Zlatko Vujović Mouse - Podgorica mr Nikoleta Tomović mr Vlado Dedović LayoutDizajn: and printing: Studio Mouse - Podgorica Studio Mouse ‐ Podgorica Pripema i štampa: Circulation: 300 Studio Mouse ‐ Podgorica Tiraž: The RRPP promotes social science research in the Western Balkans (Albania, Bosnia and Herzegovina, Kosovo, Macedonia, Montenegro and Serbia). Social science research aids in the understanding of the specific reform needs of countries in the region300 and in identifying the long-term implications of policy NAPOMENA:choices. Researchers receive support through research grants, methodological and thematic trainings as well as opportunities for regional and international networking and mentoring. The RRPP is coordinated and operated by theOva studija je izrađena u okviru Regionalnog programa za promoc Interfaculty Institute for Central and Eastern Europe (IICEE) at the iju istraživanja na University of Fribourg Zapadnom Balkanu (RRPP), kojim rukovodi Univerzitet u Friburgu,(Switzerland).
    [Show full text]
  • Govina Tourism Association of the Federation of Bosnia and Herzegovina Branilaca Sarajeva 21/2, 71000 Sarajevo
    Tourism Association of Bosnia and Herzegovina Tourism Association of the Federation of Bosnia and Herzegovina Branilaca Sarajeva 21/2, 71000 Sarajevo www.bhtourism.ba Tourist Information Centre Sarači 58, 71000 Sarajevo [email protected] T: 00 387 33 580 999 F: 00 387 33 580 998 Service information The official title: Bosna i Hercegovina (Bosnia and Herzegovina) Capital city: Sarajevo Geographic location: Bosnia and Herzegovina is located in the western part of the Balkan Peninsula. Neighboring countries: Serbia in the east, Montenegro in the southeast, and Croatia in the north, west and south. Administrative division: Bosnia and Herzegovina is divided into two entities: Federation of Bosnia and Herzegovina, Republika Srpska, and District Brčko. Area: Bosnia and Herzegovina - total 51.209,2 km2 (land – 51,197 km2, water – 12,2 km2) The lowest point: Neum, 0 m The highest point: Maglić, 2386 m Climate: mostly continental, Mediterranean in the south (Herzegovina). Published by: Tourism Association of Bosnia and Herzegovina Population: Tourism Association of the Federation of Bosnia and Herzegovina 3.832.301 (stated on 30.06.2003.) Text: The evaluation of total population in all the bigger cities: Tourism Association of Bosnia and Herzegovina and Tim Clancy Sarajevo 401.687, Mostar 105.454, Bihać 60.741, Tuzla 131.856, Zenica 128.604, Travnik 51.446, Banja Luka 224.847 (stated in Photos: 30.06.2004.). Tourism Association of Bosnia and Herzegovina Tourism Association of Canton Sarajevo Official languages: Fondacija Mozaik Bosnian, Croatian and Serbian (Bosnian and Croatian are written in Leila Handanovic Latin alphabet, Serbian in Cyrillic alphabet). Igor Simovic Tim Clancy Official currency: Convertible mark (KM).
    [Show full text]
  • Statement on Security of Supply Bosnia and Herzegovina
    Bosnia and Herzegovina Energy Community - Statement on Security of Supply STATEMENT ON SECURITY OF SUPPLY BOSNIA AND HERZEGOVINA May 2007 1 Bosnia and Herzegovina Energy Community - Statement on Security of Supply TABLE OF CONTENTS 1. ELECTRICITY .................................................................................................. 3 1.1 Legal and Institutional Framework................................................................. 3 1.2 The Existing Generation Capacities .............................................................. 5 1.3 Generation of Electricity and Peak Load of the System ................................ 6 1.4 Power balance of BiH at the transmission network ....................................... 6 1.4.1 Power balance in power utilities....................................................... 7 1.5 Map of the electric power system of BiH ....................................................... 9 1.6 Basic information about the transmission network ...................................... 10 1.7 Procedural steps related to planning and development of the transmission system.......................................................................................................... 10 1.8 ISO BiH procedures for provision of security............................................... 12 1.9 Construction of new generation capacities in Bosnia and Herzegovina ..... 13 1.9.1 Planned construction of new generation capacities in BiH Federation .....................................................................................
    [Show full text]
  • Plava-Voda-Regional-Water-Supply
    Infrastructure Projects Facility in the Western Balkans TA-BiH-03 Plava Voda Regional Water Supply System Environmental Impact Assessment and Social Impact Assessment Report June 2011 Document Control Sheet European Commission European Bank for Reconstruction Client: and Development EuropeAid /124605/C/SERMULTI Council of Europe Development Bank Infrastructure Projects Facility in Contract CN 2008/157-799, 2008/157- Project: 807, 2008/158-121and CN the Western Balkans Number 2010/241-182 Plava Voda Regional Water Supply System Assignment Task No TA – BiH – 03 Title: Draft Environmental Impact Assessment and Social Impact Assessment Prepared by Reviewed by Approved by ORIGINAL NAME NAME NAME Irem Silajdžić Aleksandra Ploco Sohail Hassan Erna Zildžović Sohail Hassan DATE SIGNATURE SIGNATURE SIGNATURE July 2010 REVISION NAME NAME NAME DATE SIGNATURE SIGNATURE April 2011 REVISION NAME NAME NAME DATE SIGNATURE SIGNATURE SIGNATURE Contents 1 INTRODUCTION .............................................................................................................................. 3 1.1 STUDY BACKGROUND ................................................................................................................... 3 1.2 THE NEED FOR THE PROJECT ........................................................................................................ 3 1.3 ENVIRONMENTAL AND SOCIAL GOALS AND OBJECTIVES ................................................................... 4 1.4 METHODOLOGY ...........................................................................................................................
    [Show full text]
  • The New Century, No. 6, February 2014
    Quarterly of CENTER FOR EURO-ATLANTIC STUDIES issue 06 • February 2014. • ISSN 2217-9925 www.ceas-serbia.org ceaserbia @cEasserbia Jelena Milić, CEAS Director #putinization . str. 02 Sanja Mešanović, M. Sc. Eu common sEcurity and dEfEnsE policy aftEr thE dEcEmbEr summit . str. 08 Tamara Spaić - CEAS Interview intErviEw with mr saša radulović, outGoinG ministEr of Economy . str. 11 Jasminka Simić, PhD Economic aspEcts of stratEGic partnErship bEtwEEn sErbia and russia . str. 22 Antonio Missiroli, Director of the European Union Institute for Security Studies EUISS EuropEan dEfEnsE - to bE continuEd . str. 33 Milan Nič and Ján Cingel sErbia’s rElations with nato thE othEr (QuiEtEr) GamE in town . str. 36 Andrew Wilson can EuropE protEct thE Euromaidan? . str. 42 Jan Piekło, Director of Polish-Ukrainian Cooperation Initiative (PAUCI) Euromaidan: russia and thE EuropEan choicE of thE ukrainians . str. 44 Center for Euro-Atlantic Studies – CEAS Dr. Dragoslava Popovića 15, 11000 Belgrade, Serbia Tel/fax: +381 11 323 9579; offi[email protected], www.ceas-serbia.org Jelena Milić, CEAS Director #PUTINIzATION The power of the west should be in its ability to create a situation in which it screws Gazprom’s pipes, at it’s borders, as a response to russian blackmail and not to just express concern and impose inefficient sanctions; to openly ask Belgrade, Kiev, Sarajevo and Sofia whether they wish to go to the East or the West, to choose putinization as a form of governance or not. Jelena Milić preliminary parliamentary elections have been country, which he initiated the very first day of scheduled in serbia. one of the main features assuming his mandate as vice president.
    [Show full text]
  • The EU and the Western Balkans
    Briefing Political Trends & Dynamics The European Project in the Western Balkans: Crisis and Transition Volume 2| 2019 Political Trends & Dynamics in Southeast Europe A FES DIALOGUE SOUTHEAST EUROPE PROJECT Peace and stability initiatives represent a decades-long cornerstone of the Friedrich-Ebert-Stiftung’s work in southeastern Europe. Recent events have only reaffirmed the centrality of Southeast European stability with- in the broader continental security paradigm. Both democratization and socio-economic justice are intrinsic aspects of a larger progressive peace policy in the region, but so too are consistent threat assessments and ef- forts to prevent conflict before it erupts. Dialogue SOE aims to broaden the discourse on peace and stability in southeastern Europe and to counter the securitization of prevalent narratives by providing regular analysis that involves a comprehensive understanding of human security, including structural sources of conflict. The briefings cover fourteen countries in southeastern Europe: the seven post-Yugoslav countries and Albania, Greece, Turkey, Cyprus, Bulgaria, Romania, and Moldova. Political Trends & Dynamics in Southeast Europe EDITORIAL Jasmin Mujanović, Alida Vračić and Ioannis Armakolas Hopes were high on June 18, 2019 at the EU ministerial meeting. Western Balkan leaders and analysts hoped the meeting would recognize North Macedonia’s success in resolving the decades long dispute with neighboring Greece, and would be rewarded with a formal start for the country’s EU accession pro- cess. Albania too hoped to start the negotiation phase, as it had received candidate status already in 2014. Both sides were disappointed, as the the Council opted (once again) to ignore the positive recommenda- tions of the European Commission and revisit the issue in October 2019.
    [Show full text]
  • Return of the Balkans: Challenges to European Integration and U.S
    Visit our website for other free publication downloads http://www.StrategicStudiesInstitute.army.mil/ To rate this publication click here. The Letort Papers In the early 18th century, James Letort, an explorer and fur trader, was instrumental in opening up the Cumberland Valley to settlement. By 1752, there was a garrison on Letort Creek at what is today Carlisle Barracks, Pennsylvania. In those days, Carlisle Barracks lay at the western edge of the American colonies. It was a bastion for the protection of settlers and a departure point for further exploration. Today, as was the case over 2 centuries ago, Carlisle Barracks, as the home of the U.S. Army War College, is a place of transition and transformation. In the same spirit of bold curiosity that compelled the men and women who, like Letort, settled the American west, the Strategic Studies Institute (SSI) and U.S. Army War College (USAWC) Press presents The Letort Papers. This series allows SSI and USAWC Press to publish papers, retrospectives, speeches, or essays of interest to the defense academic community which may not correspond with our mainstream policy- oriented publications. If you think you may have a subject amenable to publication in our Letort Paper series, or if you wish to comment on a particular paper, please contact Dr. Steven K. Metz, Director of Research, Strategic Studies Institute and U.S. Army War College Press, U.S. Army War College, 47 Ashburn Drive, Carlisle, PA 17013-5010. His phone number is (717) 245-3822; e-mail address is [email protected].
    [Show full text]
  • Bosnia and Herzegovina Floods,2014 I
    Bosnia and Herzegovina Floods,2014 i BOSNIA AND HERZEGOVINA FLOODS, 2014 RECOVERY NEEDS ASSESSMENT Bosnia and Herzegovina Floods,2014 ii “The joint team would like to acknowledge the financial support of the Ministry of Foreign Affairs of the Grand Duchy of Luxembourg, the European Union, United Nations, WB, and the Global Facility for Disaster Reduction and Recovery” Bosnia and Herzegovina Floods,2014 iii Table of Contents Table of Contents .......................................................................................................... ii List of Acronyms ............................................................................................................ 1 Foreword / Acknowledgements ..................................................................................... 4 EXECUTIVE SUMMARY ................................................................................................... 1 PART 1 - IMPACT AND EFFECT OF THE DISASTER ............................................................ 8 1. INTRODUCTION ............................................................................................................. 8 1.1 Brief description of the disaster ...................................................................................... 10 1.2 National and International Response ............................................................................ 15 2. DISASTER EFFECTS .................................................................................................. 16 2.1 Affected Population .........................................................................................................
    [Show full text]