In the first four months of this year, Bosnia and Herzegovina achieved a total exchange volume of 14.93 billion BAM, which is 0.09 percent more, or 13,339 BAM, compared to the same period last year, according to the analysis of the Chamber of Foreign Affairs of BiH (VTK BiH).
Of that, the total value of exports is 5.47 billion BAM, which is 477 million BAM less or 8.03 percent compared to the same period of the previous year. Imports to Bosnia and Herzegovina amounted to 9.46 billion BAM and are higher by 491 million BAM or 5.48 percent compared to the previous year.
The annual trends in foreign trade exchange show signs of recovery, which is particularly expressed by the growth of exports in April, when there was an increase in exports compared to March this year, but also compared to April last year.
“We have a decrease in the export deficit by 93 million BAM compared to the quarterly report, and an increase in the coverage of imports by exports by one percent. We have to take negative trends in foreign trade exchange with an appropriate reserve, because the practice so far has shown a reduced volume of exports and economic activities at the beginning of the year. Additionally, the key economic projections for the year 2024 have a positive trend, so with a reduction in inflation and positive growth projections for the European economy, we can expect improvements in foreign trade during the year,” says the analysis of VTK BiH.
From the countries of the European Union, our main trading partner, the largest drop in exports was recorded in the markets of Italy (12.4 percent), Austria (10 percent), Germany (7.5 percent), Slovenia (6.2 percent), Croatia (5 .68 percent). Among the CEFTA countries, the largest drop in exports was recorded on the Serbian market (20.8 percent). Encouraging increases in exports to the so-called other markets, where an increase in exports to the Turkish market was recorded (26.8 percent).
The movements of imports had the opposite tendency to exports, where an increase in imports was recorded from most EU countries. The most important import markets are Croatia, Serbia, Germany, Slovenia and Italy.
When it comes to products and tariffs, the biggest drop was achieved in the export of electricity. The export of electricity decreased by 281.58 million KM, which is mainly the result of lower electricity prices on the international market compared to the previous year. In the ore, metals and products sector, exports decreased by 167.1 million BAM or 14 percent, and the decrease refers mainly to the decrease in exports of iron and steel and their products. The drop in textile industry exports of 66 million BAM is also significant.
Of the products that have an increase in exports, we should mention the products of the dedicated industry, where an increase in exports of 66 million BAM was recorded in the reference period, and the highest percentage growth was achieved in the export of weapons and ammunition tariffs by 97 percent, the export of products of the agro-industrial sector in the amount of 31 million BAM or 9.35 percent, and there is an increase in the pharmaceutical sector of almost 70 percent or 17 million BAM.
“The reduced inflationary trends in Bosnia and Herzegovina and the surrounding area are encouraging, which significantly affects the stabilization of the prices of raw materials and raw materials. Projected inflation values this year are between 2.5 and three percent, which is close to the desired goals set by the leading economies of the EU and The projections of the growth of the gross domestic product and industrial production give hope that the negative trends in the foreign trade of BiH from the beginning of this year will be amortized and will have a positive effect on the level of economic activity in BiH”, according to the analysis of VTK BiH.
