The CBBH Published the Foreign Direct Investments Statistics for 2016

August 15, 2017

The Central Bank of Bosnia and Herzegovina (CBBH) published the foreign direct investments (FDI) statistics for 2016, which indicate that the FDI inflow in 2016 amounted to KM 536.3 million, or 1.8% of GDP.

In the structure of FDI, KM 289.4 million is the equity, KM 193.5 million are retained earnings, and the other capital category recorded the inflow of KM 53.4 million.

In terms of geographical distribution in 2016, the highest investment inflows were from Croatia (KM 119.0 million), Austria (KM 73.9 million), United Arab Emirates (KM 66.0 million), Great Britain (KM 52.2 million) and the Netherlands (KM 51.0 million).

As per activities, the most investments were engaged in the wholesale, amounting to KM 148.8 million, then, the activities related to financial intermediation (banking sector), in total amount of KM 139.1 million, the activities related to production of tobacco products, in amount of KM 67.7 million, the activities related to production of chemicals and chemical products, in amount of KM 49.3 million, and to the activities related to telecommunications, in amount of KM 34.2 million. The total amount includes also the investments outflows, mostly related to production of coke and refined petroleum products, in amount of KM 58.1 million.

The balance of FDI is also reflecting the trends in given period, but also other economic changes (revaluation, foreign exchange rates etc.), thus, it provides additional information with respect to observing only the flows. In the end of 2016, the balance of FDI amounted to KM 12.96 billion, with the biggest portion of 68% related to equity.

The biggest amount of FDI still refers to Austria (KM 2.5 billion), Croatia (KM 2.2 billion) and Serbia (KM 2.1 billion)

For the first time, the CBBH introduces the statistics on the FDIs going out from Bosnia and Herzegovina abroad. As expected, the amounts are much lower than for the incoming FDIs, but they are indicating that the residents are still investing abroad, and in 2016, the flows abroad amounted to KM 65.9 million. As the consequence of investments in the previous years, the balance of domestic investments abroad amounted to KM 748.4 million.

According to the auditing policy, the audits were performed over the amounts of flows and balances of foreign direct investments for the years preceding 2016.