Official web site of
City Bijeljina

Why invest in Bijeljina

Favourable geo-strategic location
The City of Bijeljina is located in an attractive geostrategic location – at tripoint of Republika Srpska/BaH with Serbia and Croatia, the crossroads between large urban and industrial centres – Belgrade, Novi Sad, Inđija, Banja Luka, Šabac, Tuzla, Sarajevo... At approximately thirty kilometres from Bijeljina there is an entrance to the Pan-European Corridor 10, or E-70 motorway Belgrade-Zagreb. This road is the shortest way from Semberija to Belgrade and Zagreb, and then to west and central Europe and south and east of the Balkan Peninsula. The territory of the City has two border crossings with Serbia, over the rivers Sava and Drina (Rača and Pavlović Bridge), which are the most frequent crossings for the traffic coming from the west and south of Republika Srpska/BaH to the north of Serbia and Belgrade. There is a small border crossing in Gornje Crnjelovo where a ferry is used to cross the river towards Serbia.
Free trade area
Investors in Republika Srpska and the City of Bijeljina have access to the market containing 600 million citizens, based on the principle of free trade.
  • CEFTA countries and their market of around 30 million citizens
  • Free trade agreement between BaH and Türkiye – around 70 million citizens
  • EFTA agreement
  • Stabilisation and Association Agreement between the EU and Bosnia and Herzegovina
Competitive and highly skilled workforce
The City of Bijeljina has a population of about 115,000 people, with 45,000 living in the narrow urban area. Due to investments into education, firstly the higher education, the population of Semberija is getting younger, and the educational composition of population is also getting better, because many young highly educated professionals stay to live in Bijeljna after graduation. Also, over a thousand people moves to Bijeljina and surrounding settlements every year. This additionally enriches the work force offer and creates larger market for goods and services. In the same year 23,841 inhabitants of the City were employed.
Low operating costs and cost incentive policy
Starting a business (start-up) in Republika Srpska, or in the City of Bijeljina, creates significantly lower operating costs due to stimulating tax policy and competitive labour price.
Average net salary in the City of Bijeljina in 2020 was BAM 885 (€ 452.66).
Non-taxable part of personal income is BAM 1000 (€ 511).
  • Income tax – 10%
  • Personal income tax – 8%
  • VAT – 17%
Total contributions on the gross salary amount to 31%, as follows:
  • 18.5% for pension and disability insurance,
  • 10.2% for health insurance,
  • 1.7% for child protection, and
  • 0.6% for unemployment insurance
Agreements on avoidance of double taxation have been signed with 40 countries of the world.
Price of electricity in Republika Srpska is the lowest in the region – 0.053 €/kWh.
Business-friendly administration
Republika Srpska Government and the City of Bijeljina put significant effort into the reform of administration and creation of a business environment.
Starting a business takes only three days in Republika Srpska and costs less than EUR 100. Implementation of e-registration of business entities in Republika Srpska is currently under way.
In order to improve and harmonise local conditions for businesses with those in the countries of South East Europe, the City of Bijeljina holds a Business Friendly Certificate South East Europe – BFC SEE.
Enterprises and citizens of Republika Srpska have access to a portal Point of single contact for businesses The point of single contact provides information related to methods, administrative procedures and formalities for starting and conducting business activities.
Region of the future for foreign investments
According to the fDi Intelligence / Financial Times ranking for 2018/2019, Republika Srpska was selected as one of the 10 small regions of the future for the foreign investments strategy.
Stimulating investment policy
Law on Foreign Investments in Republika Srpska (Official Gazette of Republika Srpska, 21/18) is one of the most liberal and it enables foreign investors to have national treatment in Republika Srpska. Their rights are guaranteed by the Constitution. It means that they can transfer profit abroad, that they are exempt from payment of customs on import of fixed assets and new tax reliefs, incentives for new employment, new technologies and salary increase in accordance with the law and right to acquire property. Multilateral Investment Guarantee Agency (MIGA) and 42 agreements on incentives and protection of investments are a reliable protection system for foreign investors. Also, the Foreign Investors Council (FIC) of Republika Srpska has been established as an institutional support in order to encourage foreign investments.