FACT SHEET: Innovative Partnerships in Bosnia and Herzegovina

The Challenge
After massive reconstruction following the war in Bosnia and Herzegovina (BiH), the international community continues to play a key role in supporting the country’s progress and stability. Developing jointly funded projects with other donors is a powerful way for USAID to further its development goals and multiply the impact of U.S. foreign assistance. This labor-intensive process requires dialogue and a strong understanding of the other donor’s development philosophy, program modalities, and capacity. Such challenges have proved well worth the effort in BiH. 
Our Assistance
To date, USAID/BiH has leveraged more than $90 million from other donors, including the countries of Norway, Germany, Sweden, the Netherlands and the Czech Republic. USAID/BiH has used three main types of donor partnerships: (1) donor resources transferred to a USAID-managed project; (2) parallel funding to a shared effort managed separately; and (3) USAID funding to a project managed by another donor. These collaborations created strong models for USAID to replicate worldwide. USAID/BiH has also begun implementing funds through direct agreements with government institutions. Some of our innovative partnerships include: 
USAID/BiH innovative partnerships include: 
$300,000 through a direct funding agreement with the BiH Ministry of Security
To assist BiH in returning to Tier 1 in the U.S. State Department’s annual Trafficking in Persons Report, USAID pledged $300,000 in direct funding to the BiH Ministry of Security to strengthen the fight against trafficking in persons. Cooperation with the ministry represents the first direct funding agreement with a BiH Government institution.
$20 million total: $10 million each USAID and Sida
USAID and the Swedish International Development Cooperation Agency (Sida) designed and awarded the GOLD activity to help generate new investments, employment and growth of private enterprises in selected localities in BiH. GOLD is augmented by a parallel Government-to-Government Incentive Fund that is available to local authorities as direct assistance to implement economic development reforms. 
Diaspora Engagement: “Alliance for Agribusiness Development”
$6.1 million total:  $1.5 million USAID; $4.6 million private sector
This activity leverages domestic and diaspora direct investment to increase production and export of cornichons from BiH to EU countries. By partnering with the private sector, we triple the amount of funding and thus impact. The activity benefits from the industry knowledge of our private sector diaspora partners, while partnering with them around mutually beneficial goals will ensure sustainability.
$1,487,000 total:  $984,258 USAID; $502,748 UN Development Program (UNDP)
This project expands on the achievements of our ‘Walking the Via Dinarica’ pilot initiative. The project will further establish the Via Dinarica corridor as a community-owned and operated tourism product that provides sustainable livelihoods for a broad range of stakeholders.
Durable Housing Solutions for Families Affected by the Floods and Landslides
$5.7 million total:  $2 million USAID; $3.7 million from local government contributions
The project will provide durable housing units for 150 households permanently displaced after the floods and landslides of 2014. The financial framework is based on a cost-sharing agreement among USAID, UNDP, the two entity governments and the affected local governments, in which domestic partners are expected to contribute more than three-quarters of the overall investment. 
$1,298,366 total:  $1,168,529 USAID; $129,837 Open Society Fund
This program is changing the educational system with a holistic approach that goes beyond the mere physical integration of students, to bring about reconciliation, sustainable peace and societal cohesion. Includes revision of curricular materials, integrated settings and alternative pedagogical methods. 
Total funding: up to $350,000) -- 50% USAID; 50% local government, private sector partners
To establish Service Centers for Children with Disabilities, USAID partnered with local governments, civil society and the private sector. For the Sarajevo center, the first ever in BiH, USAID provided a grant and partnered with the Novi Grad municipal government, which contributed $15,000 to refurbish the center premises. For the second center, in Banja Luka, USAID provided a $50,000 grant, while Banja Luka municipality provided the building, which was refurbished with significant support from the private sector.
USAID and Sida loan guarantees unlock $40 million in credits
USAID/BiH and Sida collaboration through USAID’s DCA program was the first-ever global partnership between USAID and Sida for loan guarantees. Funding will provide credit guarantees for productive local enterprises. 
For more information:
Ela Challenger, Deputy Director
USAID/BiH Program Office 
Tel: +387 (0) 33 704 211

Last updated: October 08, 2015

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