BUSINESS

Diaspora sends 2.5 Billion BAM to Relatives in BiH Annually

“The social capital that our country has at its disposal, and which consists of a large number of highly integrated and successful individuals, with the connections that they made over time abroad – is probably one of the most powerful in the world. Our people are emotionally engaged, family values ​​are important to us. It would be good if that force was focused on development investment processes, strategic capital projects, economic development, which would give us double value, stronger ties with the homeland and economic progress “, said the Central Bank of BiH Vice Governor Ernadina Bajrovic.

The amount of remittances from abroad is significantly higher than the amount of foreign direct investment. It is estimated that almost the same number of Bosnians and Herzegovinians live abroad as in homeland. On an annual level, this community sends approximately 2.5 billion BAM to the homeland.

While the consequences of the COVID 19 pandemic on BH’s gross domestic product in 2020 are measured by a 5% decrease, the Central Bank of Bosnia and Herzegovina data on the abroad remittances inflow for the first three months of 2021 return optimism. More concretely, in the first quarter of 2021, our diaspora sent 666.9 million BAM, while last year in the first three months, remittances amounted to KM 663.9 million. Remittances in 2020 amounted to 2.51 billion BAM annually, while in 2019, 2.95 billion BAM arrived in BH from abroad.

The inflow of funds from diaspora is very important for economic trends in BH. The CBBH has developed a very successful cooperation with the World Association of Bosnia and Herzegovina Diaspora and in all occasions, it tries to show the significance of diaspora for improving the economic environment of BH.

”Our citizens living abroad are a strong potential for development processes in BH. Bosnia and Herzegovina people living outside the native country are distinguished individuals, members of business communities, leaders of large companies, international corporations. The social capital available to our country, including a significant number of our people highly integrated, with connections made during the time spent living abroad – is probably one of the strongest in the world“, said Bajrovic at the recently held 10. Congress of the World Diaspora Association of BH.

Our people are emotionally engaged, family values are important for us. Relationships with the closest ones are not ended, but they are built, despite distances. Most of them help their families and friends financially, which in summary has a large impact on economic trends in the country.

”It would be good to direct that power into development investment processes, strategic capital projects, development of economy. Time is not working for us, new generations will have different habits. Economic relations with the native country need to have a new level, a mutual and longer term quality“, Bajrovic said.

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