Project Name:

Local Development Strategies – Programme for Local Self Government and Economic Development


Total Budget


Financed by

Project Type

Time Frame

Bosnia and Herzegovina

20.536,20 BAM

University for Business Engineering and Management – The Law Faculty in Lukavica

GIZ-Deutche Gesellschaft fur


September 2018 –December 2018

Project Goals and Outcomes

The EU co-financed Action “Local Development Strategies” (the Action) has the objective to strengthen BiH capacity for generating growth and employment through support to competitiveness and innovation. The specific objective of the project is to support BiH private sector development with a focus on export-oriented, agro-rural and tourism sectors, as well as on enhancing the operational environment for MSMEs including the development of local digital entrepreneurship.

The Project envisages three inter-related results:

1.  MSMEs performance is increased due to better access and availability of well-targeted measures and innovative business development services in competitive export-oriented sectors; 

2.  The business environment for the development of new businesses and support to existing ones is improved;

3.  Entrepreneurial initiatives in tourism and rural value chains for income and employment generation are increased.

The Project will be based on a two-pronged approach, namely a Grant Fund Facility (GFF) complemented by Technical Assistance (TA). Both GFF and TA will be focused on the following three priority areas of intervention:

1.  Export-oriented sectors;

2.  Tourism;

3.  Agri-food and rural development.
The Project will also promote entrepreneurship and start-ups within these sectors emphasizing the importance of the digital economy. GFF and TA are closely interrelated, whereby TA will be designed in a complementary approach to prepare the fundamentals and meet institutional requirements at various levels and increase capacities of the applicants for the effective operationalisation of the funding mechanism.


• Analysis of the sectors

• Analysis of the targeted export markets

• Statistical analysis of the sectors and anticipation of trend

• Interviews with SMEs

• Definition of the most relevant focus fields and possible interventions for support to export-oriented SMEs in innovative approaches together
• Definition of the joint policy priorities on entity and state level together with development of a proposal for joint action/support programme

Thematic Areas

Local self-government and economic development