Bosnia and Herzegovina falls within category of developing countries as majority of countries in South-East Europe. The most important trading partners of Bosnia and Herzegovina are member states of the European Union. Apart from the EU, other important trading partners of Bosnia and Herzegovina are member states of the Central European Free Trade Agreement (CEFTA). Moreover, Bosnia and Herzegovina has signed the Free Trade Agreement with Turkey, has developed preferential trade arrangements with the EU, United States of America and Australia while with the Russian Federation has signed the Protocol on cooperation for export of fruits and vegetables to the Russian market. Bosnia and Herzegovina actively participates in the initiative of the Peopležs Republic of China + 16 countries of Central and Eastern Europe related to intensifying cooperation in the field of investment, finance, transport, science, communication and culture.

Main economic priorities of Bosnia and Hercegovina assume faster integration into the European Union, strengthening its fiscal system, implementation of public administration reform, membership in the World Trade Organization and ensuring economic growth by promoting dynamic and competitive private sector.

Having the aforementioned in mind, in July 2015, the Council of Ministers of Bosnia and Herzegovina, Government of Republika Srpska and Government of the Federation of Bosnia and Herzegovina adopted the Reform Agenda aiming at faster development and achieving political and economic priorities of BiH. The Reform Agenda represents a huge step forward in achieving a wider consensus, necessary for implementing structural reforms in BiH, taking into account a complex political system in the country.

Bosnia and Herzegovina is completing the reform process in the area of legal system and monetary policy that will additionally improve conditions for doing business and foreign investment.

Bosnia and Herzegovina is predominantly mountainous country with especially rich hydropower potential. Natural resources are still insufficiently utilized which leaves enough space for investment and influx of fresh capital into energy sector, agriculture, cattle breeding, mining, forestry, fish farming and tourism. Traditionally, automotive and textile industry are developed, while in recent years IT sector development is characteristic. Bosnia and Herzegovina has at its disposal qualified labour force, possesses a huge number of available industrial zones and decades-long tradition of industrial production, favourable legislation for foreign investors as well as low taxation. Besides that, national currency, convertible mark (BAM), is completely pegged to Euro that makes it one of the most stable national currencies in South-East Europe.   

Financial system of Bosnia and Herzegovina is dominated by commercial banks whereby 23 of them are registered in the country with over 10,000 employees. Only one bank is majority-owned by the state while foreign banks possess over 80% of the capital.

The Ministry of Foreign Affairs of Bosnia and Herzegovina, in cooperation with relevant ministries and institutions of Bosnia and Herzegovina, follows international economic trends and relations as well as economic relations between Bosnia and Herzegovina and specific states and regions and informs appropriate bodies and institutions about it. In addition, the Ministry of Foreign Affairs of Bosnia and Herzegovina directs the work of diplomatic and consular representations of BiH in, among other issues, the area of economic diplomacy.