Local Integrated Development project: 2 million BAM Grant scheme for strengthening the competitiveness of SMEs

Local Integrated Development (LID) project, which is primarily funded by the European Union and implemented by the United Nations Development Program in Bosnia and Herzegovina (UNDP BiH) will support grant scheme to strengthen the competitiveness of small and medium-sized enterprises (SMEs), implemented by the FBiH Ministry for development, entrepreneurship and crafts (FMRPO). FMRPO announced a public competition for the selection of beneficiaries of the grant scheme – “Strengthening the competitiveness of SMEs” for 2017, and the funds for the implementation of the grant scheme was provided by the FBiH Government and the European Union, via LID project. The total amount of funds to finance the grant scheme amounts to 2,000,000 BAM, and out of that amount FMRPO will finance up to 1,550,000 BAM, while the European Union will finance up to 450,000 BAM.

The LID Project is a three-year initiative (2016-2018) primarily financed by the European Union (EU) and implemented by the UNDP in BiH, in cooperation with the BiH Ministry of Human Rights and Refugees, Ministry of Development, Entrepreneurship and Crafts of the Federation of BiH, Ministry of Administration and Local Self-Government of RS and two Associations of Cities and Municipalities. Project is being implemented in 21 local self-government units in BiH.

The overall objective of the LID Project is to raise the standards of living and social cohesion in Bosnia and Herzegovina through inclusive and sustainable socio-economic development. Within the component for economic recovery, LID project will directly support the private sector and potential investors in order to increase an overall economic activity in local communities, ensure economic growth through productive value chains and to create new jobs and income. The project also provides assistance for the long-term unemployed and socially excluded categories of the population, especially returnees, internally displaced persons and long-term unemployed persons.

Recognizing the importance of investment in the development of entrepreneurship in FBiH, FMRPO focuses the attention on strengthening the competitiveness of SMEs through the grants scheme. The grant scheme will provide support to SMEs, which operate in priority areas (wood processing, metal processing, processing of textiles, footwear and leather, plastic processing, food processing, information technology) in order to realize: 1) investment aimed at improving technological equipment, 2) training programs for the labor force and 3) improve access to markets, and promote products to markets in order to raise the competitiveness of SMEs. This approach will simultaneously support the improvement of quality and product promotion, developing the necessary knowledge and skills of employees, enable access to the market, and directly increase the competitiveness of SMEs, increase productivity and allow faster economic growth.

The deadline for submission of project proposals is Friday, 5 May 2017.

The application form and other relevant documents can be downloaded from this page.

Any further questions regarding this public announcement may be submitted by e-mail no later than 7 days before the deadline for submission of applications, to the following email address: All answers to questions that may be relevant to other applicants, will be regularly published on the website FMRPO: