CITY OF BIHAĆ BOSNIA AND HERZEGOVINA. Project: Bussines Zone Kamenica

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CITY OF BIHAĆ BOSNIA AND HERZEGOVINA Project: Bussines Zone Kamenica Sarajevo Business Forum May 4-5, 2016

About City of Bihać Location: North-West Region of Bosnia and Herzegovina Economic, educational and cultural centre of the Una-Sana Canton Next to the Croatian border Zagreb only 150km distance 170 km distance from Rijeka and its international seaport Connected to Sarajevo via railroad and main road (330km distance) Population: 61.186 Population of Una-Sana Canton: aprox. 300.000

Project objective: Creating an predisposition for more intensive development of entrepreneurship and investment in the development of the City of Bihac, as well as to attract domestic and foreign investors Location: northwest part of the urban area of Bihac on the existing main road the M-5 4 km from the city center 8 km from the border Izačić

Basic characteristics of the business zone area of the business zone is 39.2 ha According to the Regulation plan Kamenica (Official Gazette of the Municipality of Bihac, No.03 / 03) total area of the Business zone of 392 000 m² is divided into 71 parcels of 2.090 7.800 m² intended for small and medium enterprises, parcels for content fairgrounds area of 35.810 m², the motel area 10.380 m², menagement with the administration area of 9.000 m² and info center with parking area 10.100 m². By the ownership structure 24 parcels or approximately 133.070 m² are owned by the Municipality of Bihac with 1/1, 12 parcels or approximately 45.180 m² are owned by Socialist Alliance, and 39 parcels or approximately 213.750 m² is in private property. Spatial planning and design documents are fully completed, and we are currently investing in the filling and punching of roads.

Regulation plan Kamenica I

The current situation in the Business Zone built 10 business buildings in which 13 business entities performing the activity for 1 business building construction is in progress, and for 7 businesses is in the preparations for the construction in the various stages In the scope of the Regulation Plan "Kamenica" exists 5 uncompleted building plots/free for potential investors which are owned by the City of Bihac.

5 uncompleted building plots/free for potential investors which are owned by the City of Bihac.

The development plan of business zone 2007 has begun the activities on the establishment of business zones, adopted the Program of development of business zone Kamenica Preliminary and final design of roads with public utilities and Preliminary and final design of water supply is done 2010 City of Bihac is actively working on the implementation by applying on the existing funds and with own funds It is invested close to 500.000 KM till now, on the preparation of spatial planning documentation, construction of water supply and preparation for the construction of roads (punching roads and filling) There is an interest in investing in a business zone Kamenica. City of Bihac was selected among the 10 municipalities in Bosnia and Herzegovina in the EU project entitled "Support to the establishment and strengthening of business infrastructure to improve the competitiveness of SMEs", with which is made Feasibility Study of Business Zone Kamenica.

Allowances for investors in the business zone: (Official Gazette of the Bihać Municipality 2/14) Co-financing of the part of fee for allocated building plot in bussines zones on the area of Bihać municipality The investor effectuate the right on co-financing the part of the fee for allocated building plot: - in percentage of 30%, in condition that build an object within 2 years from the date of obtaining building permits, and employ at least 10 new employees for an indefinite period in the first year (from obtaining the work permit) - in percentage of 60%, in condition that build an object within 2 years from the date of obtaining building permits, and employ at least 20 new employees for an indefinite period in the first year (from obtaining the work permit) - in percentage of 90%, in condition that build an object within 3 years from the date of obtaining building permits, and employ at least 30 new employees on indefinite period in period of 2 years from obtaining the work permit, - that in period of 5 years from the date of conclusion of the contract of employment do not release employed workers.

Modalities of investment: Direct investment, the establishment of joint enterprises, public-privatepartnership, etc.

Contact: Contact person: Mayor MSc Emdžad Galijašević Address: Bosanska 4, 77 000 Bihać Bosnia and Herzegovina tel. + 387 37 224 222 (switchboard), + 387 37 229 605 (Cabinet of the Mayor) fax.+ 387 37 222 220 e-mail: kabinet@bihac.org, bihac@bihac.org web: www.bihac.org