IFC and British Embassy Help Sarajevo Canton Improve Business Environment

IFC, a member of the World Bank Group, signed an Agreement with the Government of Sarajevo Canton today to help improve the business environment by introducing simpler administrative procedures and providing better services to investors, writes the BiH news agency Patria.

These activities are part of IFC's new project in BiH, which aims to support municipalities and cantons in attracting investments and improving the business competitiveness of the private sector by reducing business costs and increasing the transparency of administrative operations. The project will enable local businesses to obtain permits more easily, faster, and cheaper.

- We currently have more interested investors in investing in the Canton than ever before – claims the Prime Minister of Sarajevo Canton, Elmedin Konaković.
- With this project, we want to stop the practice of slow procedures and bureaucracy. I believe that the Assembly of the Canton will also recognize the importance of such processes, and that we will move forward as quickly as possible in amending legal solutions to enable easier and cheaper permit acquisition – he added.

Sarajevo Canton is one of ten cantons in the Federation of Bosnia and Herzegovina. As an economically strong region, the Canton generates one third of Bosnia and Herzegovina's GDP. Tourism, food processing, and manufacturing are the main economic sectors in the Canton.

- Our goal is to improve the business environment in the Canton, for both domestic and foreign investors – said Thomas Lubeck, IFC Regional Manager for the Western Balkans.

- Together with the representatives of the Canton, we will work on regulatory reform that will increase transparency and attract investors, enabling the Canton greater economic growth – he added.

The Government of the United Kingdom has financially supported the project in BiH with $2.9 million, which will be implemented until 2018. Some activities from this project will be implemented by the Government of Sarajevo Canton, in cooperation with the World Bank Group and IFC, with the support of the British Embassy in Sarajevo.

- The Government of the United Kingdom is proud to support this project – emphasized Edward Ferguson, British Ambassador to Bosnia and Herzegovina.

- Today, Bosnia and Herzegovina ranks 175th in the world in the category of starting a business and 171st in the category of obtaining construction permits in the World Bank's Doing Business report, which is a huge obstacle for domestic and foreign investments.

In cooperation with cantonal, municipal, and city authorities in Sarajevo and East Sarajevo, with the financial support of the United Kingdom and the expertise of the World Bank, we plan concrete improvements that will help the private sector to be successful and develop, create new jobs, and send a message that Bosnia and Herzegovina is a desirable place to do business.

About IFC:

IFC, a member of the World Bank Group, is the largest global development institution focused on the private sector in developing markets. Working on more than 2,000 businesses around the world, it uses its own capital, research, and influence to create better opportunities where they are needed most.

In fiscal year 2015, IFC's long-term investments in developing countries increased to nearly $18 billion. Assistance to the private sector plays an important role in global efforts to end poverty and promote shared prosperity.