Bosnia and Herzegovina’s startup ecosystem is gradually maturing, characterized by increased institutional involvement, enhanced support structures, and deeper regional and international connections. After years of relying heavily on donor-backed initiatives, 2025 has brought a significant shift: the public sector is now playing a more active role. New government-backed initiatives, such as the Center for Development of Entrepreneurship in Sarajevo Canton and the Science and Technology Park in Republika Srpska, are joining established players in their efforts to support entrepreneurship.
Swiss EP has been closely involved in these developments, supporting programs and partners to expand the startup pipeline, foster internationalization, and strengthen capacity. With international exposure on the rise, Swiss EP also supported startups and partner organizations engaged in major regional events, such as PODIM, and joined specialized global boot camps, receiving expert training to boost sales and marketing for global markets. Other highlights include tailored mentoring for female-led startups, support for climate-positive innovation, and the “Building Bridges” initiative, which connects diaspora talent with local founders.
However, access to finance remains the ecosystem’s biggest challenge. While angel networks like BHBAN and Vrbas Capital are growing and regional investor collaboration is improving, no new investments in BIH-based startups were recorded in the first half of 2025. Recent steps, including Sarajevo Canton’s matching grant program and Republika Srpska’s new Law on Innovation, may help close the early-stage funding gap in the near future.
Despite encouraging progress, political instability and institutional deadlocks remain serious obstacles. These conditions dampen investor confidence and complicate scaling efforts, while also fueling the risk of talent migration. For this reason, cross-border partnerships and international linkages, such as the arrival of Techstars Sarajevo, are crucial to sustaining momentum.
The coming years will be defined by efforts to bridge the financing gap, expand post-acceleration support, and align public and private actors to ensure that local founders can grow and scale under challenging circumstances.
