According to the World Bank, Bosnia and Herzegovina’s GDP was expected to decrease by 3.2% in 2020 but recover by 3% in 2021. Like other markets worldwide, the effects of the COVID-19 pandemic have cast a shadow on the economy; it remains a quiet market with little transactional activity. Foreign investment into the country has taken a notable dip, with investors from the Middle East and China exercising caution.
In the projects and energy space, firms reported being engaged in a steady stream of infrastructure and large construction projects, particularly in relation to solar projects.
Most firms have a presence in both Sarajevo and Banja Luka, and operate in both Bosnia and Herzegovina and the Republic of Srpska; examples of this include Moravcevic Vojnovic and Partners in cooperation with Schoenherr and Karanovic & Partners in cooperation with local lawyers. In addition, firms are also able to leverage their CEE capacity via their Serbian offices. Other domestic firms attract good spread of work, including Maric & Co Law Firm. International firms such as CMS Reich-Rohrwig Hainz D.O.O. in cooperation with local lawyers continue to dominate the market and win the lion's share of top-end legal mandates, particularly in the banking and finance arena.