UTICAJ STRANIH DIREKTNIH ULAGANJA NA EKONOMSKI RAZVOJ BOSNE I HERCEGOVINE
EFFECT OF FOREIGN DIRECT INVESTMENT ON ECONOMIC DEVELOPMENT OF BOSNIA AND HERZEGOVINA

Summary/Abstract: Bosnia and Herzegovina is becoming more noticeable and attractive to foreign investors entering our market via foreign direct investments (FDI) and is perceived as a suitable place for investment. It is important to note that Bosnia and Herzegovina is rich in resources that can be used for business and economic development. Foreign direct investment is certainly one of the most important forms of international capital flows. The most important role in the capital flows, besides investors and recipients of these investments, have developed countries. Properly utilized resources of foreign investors strengthen the economy at the regional level as well as the position of Bosnia and Herzegovina in the region. Investing in our country and capital inflow are beneficiary to the country as a whole and because of that the investments in the small and medium-sized enterprises require special attention. The purpose of this paper is to show the impact of the foreign direct investments on development of small and medium-sized enterprises in Bosnia and Herzegovina.

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