Bosnia and Herzegovina Location : Southeastern Europe, bordering the Adriatic Sea and Croatia Capital City : Sarajevo Curreny : marka (BAM) Languages Spoken : Croatian, Serbian, Bosnian Climate : hot summers and cold winters; areas of high elevation have short, cool summers and long, severe winters; mild, rainy winters along coast National Holiday : National Day, 25 November (1943) Background Information Bosnia and Herzegovina's declaration of sovereignty in October 1991, was followed by a declaration of independence from the former Yugoslavia on 3 March 1992 after a referendum boycotted by ethnic Serbs. The Bosnian Serbs - supported by neighboring Serbia and Montenegro - responded with armed resistance aimed at partitioning the republic along ethnic lines and joining Serb-held areas to form a "greater Serbia." In March 1994, Bosniaks and Croats reduced the number of warring factions from three to two by signing an agreement creating a joint Bosniak/Croat Federation of Bosnia and Herzegovina. On 21 November 1995, in Dayton, Ohio, the warring parties signed a peace agreement that brought to a halt the three years of interethnic civil strife (the final agreement was signed in Paris on 14 December 1995). The Dayton Agreement retained Bosnia and Herzegovina's international boundaries and created a joint multi-ethnic and democratic government. This national government was charged with conducting foreign, economic, and fiscal policy. Also recognized was a second tier of government comprised of two entities roughly equal in size: the Bosniak/Croat Federation of Bosnia and Herzegovina and the Bosnian Serb-led Republika Srpska (RS). The Federation and RS governments were charged with overseeing internal functions. In 1995-96, a NATO-led international peacekeeping force (IFOR) of 60,000 troops served in Bosnia to implement and monitor the military aspects of the agreement. IFOR was succeeded by a smaller, NATO-led Stabilization Force (SFOR) whose mission is to deter renewed hostilities. SFOR remains in place at the January 2002 level of approximately 18,000 troops, though further reductions may take place later in the year. Geographical Note within Bosnia and Herzegovina's recognized borders, the country is divided into a joint Bosniak/Croat Federation (about 51% of the territory) and the Bosnian Serb-led Republika Srpska or RS (about 49% of the territory); the region called Herzegovina is contiguous to Croatia and the Federal Republic of Yugoslavia (Montenegro), and traditionally has been settled by an ethnic Croat majority in the west and an ethnic Serb majority in the east Economy Bosnia and Herzegovina ranked next to The Former Yugoslav Republic of Macedonia as the poorest republic in the old Yugoslav federation. Although agriculture is almost all in private hands, farms are small and inefficient, and the republic traditionally is a net importer of food. Industry has been greatly overstaffed, one reflection of the socialist economic structure of Yugoslavia. TITO had pushed the development of military industries in the republic with the result that Bosnia hosted a large share of Yugoslavia's defense plants. The bitter interethnic warfare in Bosnia caused production to plummet by 80% from 1990 to 1995, unemployment to soar, and human misery to multiply. With an uneasy peace in place, output recovered in 1996-99 at high percentage rates from a low base; but output growth slowed in 2000 and 2001. GDP remains far below the 1990 level. Economic data are of limited use because, although both entities issue figures, national-level statistics are limited. Moreover, official data do not capture the large share of activity that occurs on the black market. The marka - the national currency introduced in 1998 - is now pegged to the euro, and the Central Bank of Bosnia and Herzegovina has dramatically increased its reserve holdings. Implementation of privatization, however, has been slow, and local entities only reluctantly support national-level institutions. Banking reform accelerated in 2001 as all the communist-era payments bureaus were shut down. The country receives substantial amounts of reconstruction assistance and humanitarian aid from the international community but will have to prepare for an era of declining assistance. Religions Muslim 40%, Orthodox 31%, Roman Catholic 15%, Protestant 4%, other 10% Ports : Bosanska Gradiska, Bosanski Brod, Bosanski Samac, and Brcko (all inland waterway ports on the Sava), Orasje International Disputes - Risks to travellers : Bosnia and Herzegovina and Yugoslavia have delimited about half of their boundary, but several segments, particularly along the meandering Drina River, remain in dispute; discussions continue with Croatia on the disputed boundary in the Una River near Kostajnica, Hrvatska Dubica, and Zeljava; protests Croatian claim to the tip of the Klek Peninsula and several islands near Neum
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Bosnia and Herzegovina
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