Reindustrialization is the correct strategic direction in the development of the economy of BiH, which is showed by the results in the contribution of industry to employment in local communities throughout BiH, said Professor at the Faculty of Economics in Sarajevo, Dr. Anto Domazet.
As he said, reindustrialization is a necessity for BiH due to last three waves of deindustrialization which lead to devastation of industrial potentials of BiH.
“The first wave of deindustrialization happened during the war in which were physically destroyed numerous potentials of the industry and technical and economic cooperation in the framework of the former Yugoslavia was broken, as well as connections with foreign partners. The second wave of deindustrialization took place at a time of transition, when during the unsuccessful process of restructuring, including an unsuccessful privatization, was further lost a large part of the industrial potential. The third wave took place after the global crisis when many industrial companies, due to decreased demand in export markets, lost one smaller part of the industrial potential, “said Domazet.
The industry at the current level of development is a key area for the acceleration of development, employment and exports, emphasized Domazet.
“The driving force of industry are investments for achieving technological modernization and efficiency as the basis for competitive advantages of industry on the global market,” said Domazet.
As he emphasized, the industry made 19.6 % of workplaces at the end of 2014, 19.2 % in the FBiH, and 20.3 % of jobs in the RS.
Local communities in BiH show different level of industrialization.
Share of industry in total employment in local communities depends on the heritage of industry from socialism and with what success this industry is restructured and in which pace are investments going in the creation of new industrial companies in local communities.
“Further development of the industry must be supported by measures of industrial policies, development of small and medium-sized enterprises and promotion of investments and exports, and it is especially important that the development of the industry gets in focus of local development,” said Prof. Dr. Anto Domazet.
(Source: klix.ba)
