The FBiH Government approved the project-stimulus for the building of enterprise zones in the Federation of Bosnia and Herzegovina, for which the budget allocated one million KM.
“In cooperation with the UNDP, this amount was increased to 570.000 KM, amounting 1.570.000 KM,” Assistant Federation Minister of Development, Entrepreneurship and Crafts Zdravko Čerović told FENA.
Within the project, a tender was announced for local governments to apply for building enterprise zones in the Federation, and 12 municipalities were chosen: Cazin, Sanski Most, Zenica, Kreševo, Zavidovići, Maglaj, Livno, Široki Brijeg, Stolac, Odžak, Tešanj and Usora.
“Contracts with these municipalities will be signed on Monday in Sarajevo and they will receive funding in the amount of 75,000-150.000 KM. Of the requested amount municipalities were required to co-finance 20 percent,” said Čerović.
Medium and small businesses make the most vital and important segment of the economy and creat business space for the Federation. 65.70 percent of workers are employed in the sector of small and medium enterprises (SMEs).
The structure of SMEs is unfavorable, there are too few manufacturing SMEs, the imports exceed the exports, and the unemployment rate is estimated to be around 40 percent.
Given the potential, natural and man-made resources, there is a real chance for the development of new small and medium enterprises, and priority production.
(Source: Fena)
