Economy in BiH is reviving, exports exceed one billion KM for the third month in a row

SARAJEVO, (Patria) - Bosnian and Herzegovinian exports increased by 59.8 percent in April compared to the same month last year, announced the Agency for Statistics.

The value of exports in April was 1.11 billion KM, compared to 696.5 million KM in the same month last year.

Although the high percentage of export growth is a consequence of the fact that exports were low in the same comparative month last year due to the beginning of the virus pandemic's impact and lockdowns, this does not diminish the positive trends in trade that BiH has recorded this year.

April is already the third month this year in which BiH exports amounted to more than one billion KM and in which the domestic economy is achieving exceptionally high growth rates. Therefore, we can talk about a very good recovery of the export-oriented BiH economy from the crisis caused by the pandemic.

At the same time, imports are also on the rise, recording an increase of 49.8 percent compared to the same month last year.

Total exports for the period January – April are higher by 25.7 percent than in the same period of 2020 and have grown to 4.18 billion KM, while imports recorded a growth of 12.5 percent, to 6.10 billion KM. Import coverage by exports increased to 68.5 percent.

The export boom is the result of increased placement of goods both in the European Union and in CEFTA countries. Export growth to the European Union in the first four months of this year was 27.4 percent, and import coverage by exports, due to lower import growth (12.9 percent), reached a record value of 83.6 percent.

At the same time, exports to CEFTA countries had an almost identical growth (27.5 percent), while imports grew at a rate of 15.1 percent, so import coverage by exports increased to 87 percent.

A look at the trade trends in certain sectors shows that, in addition to the metal industry and furniture production, some other industrial branches that lagged in recovery due to lockdowns in most European markets, such as the textile and footwear industries, which record growth of more than 11 percent this year, have also recorded export growth.

The leaders of growth are the production of ordinary metals with a growth of 49.7 percent, the production of weapons and ammunition, where exports are higher by 39.1 percent, and the export of food industry products is also increasing by percent.

As we have stated in some previous articles, BiH exports are growing on the wings of the fact that the global industrial economy has recovered quickly, partly due to Asian economies and the United States. European industry as a whole has benefited from this, and consequently, BiH companies that work for export have also profited.