Sarajevo Business Forum, the leading investment event in the region, is reopening its doors this week to business leaders from around the world with the aim of strengthening economic cooperation and attracting foreign investments to Bosnia and Herzegovina and the region.
This year’s Forum will focus on panel discussions dedicated to current topics. In cooperation with the U.S. Government, through the United States Agency for International Development (USAID), there will be a panel dedicated to the development of tourism in Bosnia and Herzegovina, discussed in more detail by Courtney Chubb, the Mission Director of USAID in Bosnia and Herzegovina.
This is the third year of the partnership between USAID and the Sarajevo Business Forum. Can you tell us more about the significance of this event?
The Sarajevo Business Forum and USAID Developing Sustainable Tourism in Bosnia and Herzegovina (Turizam) are long-term partners working together to strengthen economic development in the broader tourism industry value chain. USAID views the Sarajevo Business Forum as an ideal platform for expanding the network of tourism sector representatives, promoting business ideas, and attracting investors. This partnership is an important part of our efforts to advance the country’s tourism sector, increase its competitiveness for international investments, and encourage sustainable growth.
Courtney Chubb, Mission Director USAID/BiH
At this year’s SBF, USAID is co-organizing a panel titled “Perspectives on Tourism Development with a Special Focus on Health Tourism and Franchises.” Can you tell us more about this panel?
Tourism is the third largest industry in the world, generating 40% of new business startups and accounting for over 10% of global employment. It significantly impacts GDP and stimulates economic activity through its connections with various sectors such as the food industry, furniture industry, creative industries, infrastructure, and finance. Motivated by the complex and comprehensive nature of this industry, we organized the panel titled “Perspectives on Tourism Development with a Special Focus on Health Tourism and Franchises.” Our goal is to explore these two areas, which share a significant potential for enhancing the growth of the tourism sector and the overall economy of Bosnia and Herzegovina.
Key decision-makers, investors, and both global and local tourism experts will discuss the competitive advantages of health tourism and strategies that can improve Bosnia and Herzegovina’s position in the global market. Additionally, the panel will analyze ways Bosnia and Herzegovina can improve service and quality standards through franchises, presenting best practices from countries such as Croatia and Turkey.
We will pay special attention to the recent acquisition of the American Hilton franchise in Bosnia and Herzegovina, which has resulted in the opening of a hotel in Sarajevo this year and another in Mostar next year. This is an important milestone that raises the standard in the hospitality sector, enhances the destination’s profile for international travelers, and boosts tourists’ confidence in the offered services. With this, we expect an increase in the number of visitors and longer stays, with an emphasis on sustainable tourism development, ultimately leading to the economic growth of the country.
What is the broader significance of franchises and health tourism?
Health tourism has significant potential for economic and social development, especially in countries like Bosnia and Herzegovina. The global health tourism industry is experiencing strong growth of 15-25% annually, contributing over 100 billion dollars to the global economy each year. Given its abundance of thermal spas, mineral waters, and healing landscapes, Bosnia and Herzegovina is an extremely attractive destination for travelers focused on their health and seeking ideal places for recovery and wellness services. This is a unique opportunity that should be seized.
The strategic development of this type of tourism sector is also important for the country’s economy, as it will increase the number of tourist arrivals and thus revenue. Health tourism offers the potential to enhance its global reputation as a destination for holistic health and wellness. Moreover, investments in the infrastructure and services for health tourism can also lead to improvements in health standards for the benefit of both the local population and visitors.
At the same time, we must pay great attention to the significance of franchises in tourism. Major brands bring numerous advantages to tourist destinations, including recognition and standardization of service quality, which can be particularly beneficial for Bosnia and Herzegovina as it works on improving its tourism sector.
By leveraging the advantages of health tourism and major branded franchises, Bosnia and Herzegovina can achieve significant progress in sustainable tourism development, leading to long-term economic growth and better health standards.
Check out the photo gallery from the fifth panel of the Sarajevo Business Forum 2024, titled “Perspectives on Tourism Development with a Special Focus on Health Tourism and Franchises.”
On the sidelines of the Sarajevo Business Forum, USAID is also organizing an Investment Conference in Tourism. Can you tell us more about it?
The Investment Conference in Tourism is organized as part of this year’s Sarajevo Business Forum, through the cooperation of USAID Turizam project and the Chamber of Commerce of the Federation of Bosnia and Herzegovina. Our aim is to present and promote the most successful investment projects in tourism. Their owners will have the opportunity to meet potential domestic and international investors, and USAID Tourism will facilitate the participation and promotion of the ten best tourism investment projects from the country and connect them with a significant number of investors. We plan to showcase the best projects in an online brochure and an Online Financial Directory.
Presenting projects and connecting with investors is important for several reasons. Firstly, many projects are not sufficiently visible and accessible, which reduces their chances of securing the necessary investments. Secondly, better visibility of projects directly contributes to attracting investments, which is particularly important in the rapidly growing tourism sector.
With an increasing number of visitors, it is important to align growth with appropriate investments in accommodation capacities, transport infrastructure, and other related areas to maintain and improve the quality of the tourism offer.
Such investments not only provide visitors with new and better experiences but also create jobs, stimulate economic growth, and support sustainable development. Aligning projects with investors ensures efficient resource allocation, maximizing returns, and creating long-term benefits for both parties and the local community. This synergy is key to leveraging the full potential of Bosnia and Herzegovina’s tourism sector and positioning the country as a competitive global destination.
The panel will provide significant insights into market trends, investment opportunities, and strategies for attracting visitors and investors to the region. By exploring collaboration opportunities and presenting the best practical examples, our goal is to inspire the tourism industry to implement successful initiatives across Bosnia and Herzegovina. Investments in tourism bring positive returns, generating tax revenues that benefit the entire country, and if well-utilized, can significantly impact the overall economic development of the state. Given the attendance of key decision-makers from the public sector, investors, the local tourism industry, and prominent global and local experts, this panel is an excellent way to connect tourism projects with investors.
Can you tell us more about USAID Turizam project and its most significant achievements?
The U.S. Government is proudly supporting the tourism sector of Bosnia and Herzegovina through USAID Turizam project. This is a five-year, $20 million project focused on human resources in the tourism sector, improving access to financing for tourism companies, developing innovative tourism products, aligning policies and regulations, and creatively branding and promoting destinations. We want to highlight the exceptional potential of tourism in Bosnia and Herzegovina—a country rich in cultural heritage, natural beauty, and untapped opportunities that attract travelers from around the world.
Sustainable tourism not only brings economic growth but also creates a balanced approach that nurtures culture, preserves nature, and strengthens local communities. Through this project, the U.S. Government is collaborating with local partners to promote responsible tourism experiences that bring progress and preserve the country’s heritage for future generations.
Finally, I would like to mention some of the significant results of USAID Turizam project, such as the adoption of long-term tourism development strategies in the Federation of Bosnia and Herzegovina and Republika Srpska, showcasing the destination’s tourism potential at leading international fairs and conferences, the development of the online learning platform Turizam Academy, and ongoing support for the Most Beautiful Villages of BiH initiative.
For more details, you can visit the project’s website and social media at www.turizambih.ba
