Inflow of Foreign Direct Investment in Bosnia and Herzegovina in 2021 amounted to KM 971.2 million

The inflow of foreign direct investment in Bosnia and Herzegovina in 2021 amounted to KM 971.2 million, as shown in the data of the Central Bank of Bosnia and Herzegovina (CBBH) which published the results of statistical research on foreign direct investment for 2021.

Regarding geographic distribution, the highest inflows of investment during 2021 were from Switzerland (KM 210.8 million), Turkey (KM 147.0 million) and Great Britain (KM 126.1 million).

By activities, most investments were realised in the area of retail trade in the amount of KM 172.9 million, followed by the area of production of finished metal products 114.1 million, and the area of base metal production KM 102.7 million.

The inflows of investment can be considered encouraging, as they are higher by 250 million than in 2020. The growth trend of reinvested earnings of the existing companies with foreign investments from 2020 continued in 2021 as well. However, reinvested earnings had a lower share (54%) in the total flows, as a significant increase of investment in the form of ownership shares was recorded, while other capital decreased at the same time.

In the end of 2021, foreign direct investments amounted to KM 16.28 billion. Such amount results from investments during the previous years, and operations of foreign owned companies. The highest amount of direct investments is still related to Austria (KM 2.88 billion) or 17.7% of the total investment amount, Croatia (KM 2.72 billion) or 16.7% and Serbia (KM 2.25 billion) or 13.8%. Observed by activities, the highest amount of foreign direct investments was recorded in the area of financial services (KM 3.67 billion), followed by the area of telecommunications (KM 1.75 billion) and wholesale trade (KM 1.44 billion).

According to the review policy and on the basis of additional data collected in this year's research, the data for the previous two years were reviewed when data for 2021 were published.