FACT SHEET: Developing Sustainable Tourism (Turizam) in Bosnia and Herzegovina

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USAID's comprehensive approach to tourism will improve Bosnia and Herzegovina’s economy and foster social harmony.

USAID's comprehensive approach to tourism will improve Bosnia and Herzegovina’s economy and foster social harmony.

Bosnia and Herzegovina (BiH) has unique layers of history and one of Europe’s most distinguished natural landscapes. Yet, fractious governance, high unemployment, the low participation of women in the labor force, an aging population, and the emigration of skilled youth undercut the country’s prosperity. The tourism sector has the potential to address these challenges and catalyze economic growth. In 2019, the country had the third-highest tourism growth rate in the world, and tourism contributed more than 409 million euros to the economy. In 2020, however, the COVID-19 pandemic decreased tourism revenues by more than 85.6 percent and hampered the sector’s development.

USAID ASSISTANCE

USAID’s Developing Sustainable Tourism (Turizam) project facilitates broad-based, tourism-driven economic growth and promotes social harmony by capitalizing on the country’s rich cultural heritage and natural beauty. The Turizam project supports the recovery of the BiH tourism sector from the negative impacts of the pandemic by fostering collaboration among all levels of government, industry, and community stakeholders.

The Turizam project, which began in August 2020, is a five-year $20 million project implemented by Chemonics International.

IMPLEMENTATION

To transform Bosnia and Herzegovina (BiH) into a more competitive destination, the project is improving the economic regulatory environment, enhancing the quality and diversity of products and experiences, professionalizing human and institutional capacity, and creatively branding and promoting Bosnia and Herzegovina to high-yield visitors.

PROJECT OBJECTIVES

●      Establish an enabling environment with the harmonized policies and regulations needed for noticeable growth in the tourism sector

●      Strengthen tourism quality, services, and branding to improve Bosnia and Herzegovina’s tourism industry

●      Improve access to finance for tourism service providers and other small and medium businesses in tourism-related sectors, such as agriculture

●      Increase access to regional and global tourism and agriculture markets

EXPECTED RESULTS

●      Accelerated tourism recovery from the COVID-19 pandemic

●      Increased tourism receipts and bed nights

●      Increased tourism competitiveness rank (from 105 to 85) 

●      Improved destination brand rank (from 116 to 96)

●      Leveraging of more than $40 million in private investment

●      More than 3,000 new tourism-related jobs

●      Expanded market access for local agricultural products

●      Increase in the amount of protected nature areas    

PROJECT DETAILS

●      Location:  Country-wide

●      Duration:  2020-2025

●      Key counterparts:  BiH Ministry of Foreign Trade and Economic Relations; Federation of BiH Ministry of Environment and Tourism; and Repubilka Srpska Ministry of Trade and Tourism

●      Partner contact:  Chemonics International.  Email: iosta@chemonics.com

●      USAID contact:  Dobrila Vukmanovic.  Email: usaidsarajevo@usaid.gov.

Last updated: May 21, 2021

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