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USAID/Bosnia and Herzegovina 

Operational Plan 

FY 2006 

June 13, 2006 
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Please Note: 

The attached RESULTS INFORMATION is from the FY 2006 Operational Plan and was assembled 

and analyzed by the country or USAID operating unit identified on the cover page. 

The Operational Plan is a "pre-decisional" USAID document and does not reflect results stemming 

from formal USAID review(s) of this document. 

Related document information can be obtained from: 

USAID Development Experience Clearinghouse 

8403 Colesville Road, Suite 210 

Silver Spring, MD 20910 

Telephone: (301) 562-0641 

Fax: (301) 588-7787 

Email: docorder@dec.cdie.org 

Internet: http://www.dec.org 

Portions released on or after July 1, 2006 
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Program Performance Summary FY 2005: I. Democratic Reform Programs: 

A. Country Situation: Bosnia continued to make progress in its democratization efforts in FY 2005, but 

after ten years of peace, BiH still remains a society without a common vision for its future. Many of the 

preconditions to foster and implement a broader consensus need strengthening. The inefficient 

governance structure remains a constraint to entry into the EU and a redistribution of responsibilities 

among levels of government will be required particularly at the State and local levels. The State is still 

weak, but some progress has been made. The authorities and responsibilities of local governments need 

to be expanded and clarified; municipalities barely have the resources to provide even basic services. 

Municipal responsibilities are often “shared” with higher level governments, meaning in practice no one 

level of government or bureaucratic unit is accountable, leaving citizens with no clear path for redress. 

Efforts to effect structural reform have just begun to gain momentum as developments within the country 

and within the International Community now allow space for a post-Dayton pragmatism to develop. 

Adding to problems of accountability within a largely dysfunctional system of governance is the 

disarticulated nature of feedback mechanisms. In this regard continued progress is necessary to instill 

democratic values and practices both in government and political party structures. Media organizations, 

civil society, and political parties all have a role to play in arbitrating public policy questions and the role of 

the state. Actors in each of these areas face a unique set of challenges, but share in common a relative 

passivity and the need for further professional development. Progress continued in the performance of 

state level institutions responsible for judicial and legal reform and for laying the basis for overall 

improvement in the functioning of the rule of law within BiH, but there is also widespread cynicism among 

citizens about the transparency and efficacy of Bosnian rule of law. The High Judicial and Prosecutorial 

Council, which was set up in 2002, has started to play a leading role in reform efforts. While there 

remains much to be done, the endeavors to date appear to be setting the stage for a transformation of 

key areas of the justice system. USAID has supported efforts to “indigenize” reform capacity so that BiH 

can move away from its current reliance on international personnel and organizations for the 

administration of justice. Some remaining key issues that hinder legal and judicial reform are 

inconsistency in the application of law, weak institutional capacity of key government agencies and 

departments, inefficient court systems, lack of enforcement of judgments, corruption, and lack of quality 

legal representation. 

U.S. assistance is coordinated with other donors, the EU (collectively and through individual members), 

OSCE, Council of Europe (COE), and the World Bank. All of them provide assistance on various aspects 

of democratization. 

B. U.S. Assistance Priorities: In FY 2005, USAID funded democratic reform assistance focused on 

strengthening citizen participation in political, social and economic decision making. Private sector media 

outlets were strengthened and their ability to provide fair and true accounts of events increased citizens’ 

access to objective information. The civil society program funded local efforts to influence policy making 

and increase local NGOs’ capacity to advocate for their constituencies as well as increase their 

sustainability through improved techniques for fund raising. Assistance was provided to political parties 

and legislatures to enable them to improve their accountability to their constituents. Local government 

support concentrated on delivering more effective services to citizens. Further local support was provided 

through the last phase of a program working with US and local NGOs to assist communities with minority 

returnees. Grants were given for infrastructure and to generate employment opportunities. In justice 

sector reform, USAID continued to target improvements in the efficiency, transparency, and fairness of 

the BiH justice system by providing training and technical assistance to key judicial institutions, improving 

court administrative procedures, and ensuring fair and equal access to justice. USAID provided support 

to key state level institutions to improve their ability to effectively and efficiently develop, coordinate and 

administer justice sector policies. Support was provided in key aspects of court operations and 

assistance was provided to increase the flow of cases within the system. As a result, all BiH citizens will 

have greater access to justice. 

C. Program Performance: U.S. policy has focused on strengthening municipalities, which have direct ties 

to citizens, and reducing wasteful duplication of services at the cantonal and entity levels. An important 

effort has been to work on revenue allocation laws which will allow for a more transparent transfer system 

as well as one that will enable greater flows to municipalities. Enactment of improved legislation will mark 
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a significant improvement in the financing of the intergovernmental system. One area where efficiency in 

local government has been promoted is through the development of One-Stop-Shop service centers. The 

time needed for citizens to conduct business with government has been drastically reduced with these 

centers. The time required to provide citizen services or business permits decreased by 70 percent in 

many cases. Assistance in FY 2005 enabled five municipalities to open additional One-Stop-Shops with 

another twenty-one to be completed by this December, bringing to a total of forty-six municipalities which 

will have initiated this service. In addition, the financial systems to improve local accountability and 

budgeting will be completed in about one third of BiH municipalities. 

In FY 2005, assistance to civil society continued through institutional capacity-building program, as well 

as through support to larger public campaigns resulting in a number of needed policy changes at various 

levels of government. Support provided enabled a number of NGOs to utilize new marketing and fund 

raising techniques which led to significant benefits accruing for the respective NGO constituency groups. 

Donations generated through this effort helped support disadvantaged children and those who lost 

parents during the war. Policy research grants were initiated to help build indigenous policy-making 

capacities in BiH. Research by the Economics Institute of Banja Luka was initiated to help in the 

rationalization of the health sector in the Republika Srpska. USAID initiated in FY 2005 a new program of 

support with its Civic Advocacy Partnership Program. Support is being provided to strengthen advocacy 

programs, build coalitions, support watch dog efforts, and provide services to meet citizens’ needs. 

In justice sector reform, USAID assisted key governmental institutions responsible for overseeing the 

overall reform process to strengthen the judicial sector. Working with the High Judicial and Prosecutorial 

Council (HJPC) a strategic reform plan was developed, public discussion of codes of ethics for the sector 

was carried out, and new methods for assessing judiciary performance were introduced. In court 

administration, USAID established four model courts in FY 2005 which adopted new records 

management systems in order to expedite the flow of cases. On the basis of the success of these model 

efforts, the HJPC, with funding provided by the EU will replicate the practice in all BiH courts. In FY 05, 

USAID’s assistance to the Ministry of Justice concentrated on the development of a plan for 

improvements in the Ministry’s operation. Key areas for future work include improving its management 

and organizational structure; developing a justice policy; and coordinating legislative drafting. 

Independent media outlets received training and technical assistance with a focus on sophisticated 

business practices, advanced production techniques and objective reporting. Support this past year 

continued to develop an independent media and combat corruption. In depth investigative reporting 

highlighted a number of areas of wrong doing and poor performance on the part of government. High 

level management and financial training was provided to owners and managers of media outlets. A 

consumer protection series was initiated and served as a catalyst for government reform to correct 

misleading advertising. Efforts to reduce ethnic reporting bias were enhanced with the establishment of a 

multi-ethnic journalist association and, similarly, with progress by publishers who agreed to create a 

unified publishers association. 

II. Economic Reform Assistance 

A. Country Situation: GDP growth is projected at 5.4 percent for 2005, from an estimated 5.7 percent in 

2004. Inflation continues to be low, largely through the efforts of Bosnia’s currency board. The BiH 

economy remains uncompetitive on the world market and in the recent past exports have trailed imports 

by a factor of about 3 to 1. The preliminary current account projection by the IMF estimates an imbalance 

amounting to approximately 16.8 percent of GDP. This is one of the highest in the world (as a percent of 

GDP), and continues as an area of potential instability and concern. The current account deficit has been 

financed in the past through a combination of assistance flows, remittances, and foreign direct investment 

(FDI). In the long run, assistance flows are unsustainable, making it more important to promote economic 

growth by removing obstacles to investment. FDI at present is among the lowest in the Balkan region at 

an estimated $240 per capita. This stems from a very poor business environment characterized by 

excessive government regulation and corruption. A significant challenge will be to expand the private 

sector, improve its competitiveness and increase exports. With USAID assistance, the private sector is 

growing albeit slowly. In 2005 it increased as a percentage of GDP from 51.1% to 52.2% but much needs 

to be done to improve its performance. Currently, exports are dominated by raw materials, unprocessed 
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agricultural commodities and timber. There is neither the financing, production capability, skilled labor nor 

understanding of international markets to increase notably the export of value-added products. In order 

to address these concerns, USAID collaborates closely with other donors (including the EU and its 

member states) on economic and social sector reform projects. 

B. U.S. Assistance Priorities: USAID economic reform assistance in FY 2005 improved the business 

environment by easing registry and expansion regulations for small and medium-sized enterprises (SME); 

increased the competitiveness of firms in key industries; developed and strengthened banking sector 

institutions; and improved the commercial legal and regulatory environment dealing with transactions, 

bankruptcies and dispute adjudications. USAID also supported the restructuring and regulatory oversight 

of the energy sector, an area with unique potential to create export earnings and provide employment. 

C. Performance Summary: 

BiH businesses face a difficult maze of bureaucratic registration procedures and permits when attempting 

to start up or expand businesses. For example, the average time to get government permits to start a 

new business is 60 days. It takes 277 days to obtain a construction permit. USAID began a new program 

in the last month of FY 2005 to address these problems, specifically to help the various governmental 

units responsible for regulating businesses to streamline their administrative procedures. Working groups 

of government and business representatives from across BiH are being formed to devise ways to improve 

the situation. 

USAID is working with three key industrial sectors with high potential to become competitive: agriculture; 

wood processing; and tourism. Technical assistance is being provided for product development, 

marketing, and financial management to firms in these sectors. Access to credit in these areas has been 

a concern with firms facing short loan maturities and high collateral requirements. The USAID supported 

Development Credit Authority (DCA) has helped alleviate this situation. Under this program three BiH 

participating banks could get the principal of loans offered to companies in the agribusiness, wood 

processing, and tourism sectors 50 percent guaranteed. Under the program a total of 109 SMEs have 

gotten loans amounting to $18 million, which has led other commercial banks to offer more competitive 

terms to businesses. USAID’s competitiveness programs have led to the creation of 1,500 new jobs, and 

sustaining of other operation accounting for another 1,700 jobs; and an increase of 5% in one year of 

agricultural exports. 

BiH has achieved one of the strongest banking sectors in the Balkan region. Assets of the sector have 

grown significantly -- reaching 70% of GDP in 2004. This is the outcome of ten years of USAID lending 

programs, capacity building in banking supervision, support for banking operations, as well as the 

creation and strengthening of a deposit insurance program. The support has boosted public confidence 

in the banking system, resulting in deposits of $5 billion. The banking assistance program was completed 

this past year. 

USAID assisted Bosnia and Herzegovina in the development of a modern computerized system to 

overcome the difficulties banks faced in enforcing pledged collateral. This pledge registry system for 

claims on movable property has been housed in the Ministry of Justice and is now being used by all 

banks, leasing companies, and microfinance institutions. The registry has established a more secure and 

predictable environment for banks to lend to SMEs and individuals who wish to use movable property as 

collateral. To date, 10,000 property registrations have been made. 

BiH is currently in the midst of a major tax reform. A consistent and harmonized tax regime is critical if 

businesses are to operate effectively throughout BiH and foreign investment is to be attracted. USAID 

has assisted government counterparts in modernizing tax information and analytical capability needed for 

effective administration. USAID has also supported policy reform including new personal and corporate 

tax laws. Efforts to assist the tax administration to date have resulted in harmonized tax rules and 

regulations across the entities. In addition, a 15% increase in revenue collections, nearly three times the 

overall GDP growth, was recorded. 
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USG help in the passage of the state-level framework Accounting and Auditing Law along with support for 

the establishment of a BiH Commission for Accounting and Auditing greatly boosted efforts to promote a 

single economic space in BiH. The new law mandated the adoption of international accounting and 

auditing standards, established a single market for accounting and auditing professionals (a first for 

services in this country), eliminated the requirement that enterprise accountants be government-licensed, 

and has brought BiH into alignment with EU practices. 

USAID has continued to work on strengthening commercial law on bankruptcy and collateral. 

Improvements in commercial sector efficiency depend upon an effective court system. Technical 

assistance and educational programs are helping to improve foreclosure procedures. Significant efforts 

have been made in training and assisting practitioners in the area of bankruptcy. As a result the first 

bankruptcy case was finalized this past year -- releasing assets for future use and development. Case 

management software to help improve court procedures for bankruptcies has been developed and soon 

will be launched in three pilot courts 

Energy sector reform has made progress. Action plans have been developed for implementing the 

restructuring of electricity companies to unbundle transmission and production. A state level transmission 

company and a state level independent system operator have been created by state law for transmission 

of electric energy. Support has also been given to strengthen regulatory commissions' control over 

electricity generation, transmission, and distribution. Rules and methodologies have been developed to 

govern the issuance of licenses and tariffs for the electricity sector. Training on monitoring, enforcement 

and conducting public hearings was also provided. As a result all three BiH regulatory commissions are 

fully functional and are operating in an open and transparent manner. 

III Other Programs of Significance: Anti-Trafficking Program 

A. Country Situation: 

Trafficking in Persons (TIP), particularly women and girls, is a continuing problem in BiH and in 

neighboring countries. With its post-conflict environment, BiH has been especially vulnerable to trafficking 

in persons. Its severe socio-economic disruption, the demand created after the war by international 

peace-keepers and military contractors, weak rule of law and official corruption all contribute to the 

problem. In addition, trafficking in persons is linked in South Eastern Europe to what are perhaps the 

most capable and well organized crime groups in the world. 

BiH is a destination and transit country for girls and women trafficked from Eastern European countries. 

Since 2002, BiH has increasingly become a country of origin with young girls and women trafficked either 

internally -- across entity lines -- or to Western European countries. High unemployment, political 

instability and lack of opportunities for young people have resulted in an increasing number of youth 

looking for prospects to work abroad. These conditions have created an opportunity for traffickers to 

exploit BiH youth through false promises about well-paid jobs abroad or other deceptive means. 

Combating trafficking in persons in Bosnia and Herzegovina is a United States Government (USG) 

priority. The continued status of BiH as a Tier 2 and preferably its elevation to a Tier 1 country is 

essential to avoid USG sanctions against BiH in the areas of non-trade and non-humanitarian related 

assistance. 

B. U.S. Assistance Priorities: Assisting the Government of BiH in strengthening its mechanisms to 

combat trafficking in persons is a priority for the USG in BiH. Interventions under the anti-trafficking 

program should help the GoBiH implement the National Action Plan on Combating Trafficking in Human 

Beings (NAP) and enable it to take an active, leading and high profile role in the fight against TIP. To 

accomplish this objective U.S. Government efforts focus on legal advocacy and bringing traffickers to 

justice: victim witness protection; state government capacity building; public education and awareness 

raising; victim assistance through sustainable shelter services; and empowerment of vulnerable 

populations through information dissemination. 

C. Performance Summary: 
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In 2005, BiH successfully continued to combat trafficking in persons. USAID provided support through 

local NGOs for shelter and safe houses in BiH which helped 14 international and four domestic victims. 

This assistance was closely coordinated with the State Ministry of Security. USAID provided support for 

an SOS hotline, which victims could access for help as well as support for a program to facilitate victim 

reintegration into society. Work was also done with legal advocates to assist them in providing special 

care for victims. USAID funded a trafficking prevention campaign to inform the population about the 

threat of HIV and other sexually transmitted diseases that was carried out in close cooperation with the 

State Coordinator for Anti-trafficking and Illegal Immigration, and the Ministries of Education and Health of 

the entities and local non-governmental organizations. The campaign disseminated information on 

trafficking through a variety of public media and centered on educational workshops in schools for 

children and youth, and their parents and schools management. An analysis of the campaign yielded 

information on areas where further USAID programming and support could be most effective and 

additional campaign activities ought to direct their efforts. Significant increases were reached in the 

awareness of children regarding trafficking and related issues (from 65 % to 75,2 % following the 

campaign). For women, the intention to check the legality of a job abroad rose from 27.2% to 35.4%. The 

number of male respondents able to correctly identify trafficking rose from 75.3% to 83%. 
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FY 2006 Program 

SO: 168-0130 Accelerated Development of the Private Sector 

Expand & Improve Access To Economic & Social Infrastructure 

Expand & Improve Access To Economic & Social Infrastructure ($800,000 AEEB, $700,000 AEEB prior 

year recoveries). USAID's energy programs work to rationalize the energy sector to enable it to fully 

integrate into the regional European framework. During FY 2006, USAID will begin work on reunification 

of the three existing energy regulatory commissions into one state commission. USAID will provide 

technical assistance for the preparation of amendments to existing laws to be adopted by the Bosnia and 

Herzegovina (BiH) Parliament. Technical assistance will also be provided for the writing of a State level 

gas law to be passed by the BiH State Parliament. Principal contractors: Pierce Atwood Attorneys (prime) 

and PA Government Services (prime). 

Improve Economic Policy and the Business Environment 

Improve Economic Policy and the Business Environment ($2,920,000 AEEB, $571,000 AEEB carryover). 

In cooperation with the high judicial and prosecutorial council, USAID will transfer well tested training 

programs to the Judicial Training Centers (JTC), enabling the JTC to continue bankruptcy training 

programs. In addition, the integrated case management software system, designed by USAID partners, 

will be installed in 23 first and second instance courts. Judges and other court personnel will continue to 

be trained on how to direct court administration procedures and practices using the software. Building on 

its long history of successful tax administration modernization efforts, USAID will support the development 

of a coherent framework for direct taxation that incorporates corporate and personal income taxes and 

market value-based real estate tax. Assistance will be provided to both entities and the Brcko District in 

designing and implementing a legal tax framework that is regionally competitive, comprehensive, 

coherent and consistent with international best practices. At the state level, assistance will focus on fiscal 

planning issues to strengthen BiH’s tax policy and revenue projection analysis capacity. Principal 

contractors: Chemonics International (prime) and to be determined (TBD). 

Improve Private Sector Competitiveness 

Improve Private Sector Competitiveness ($6,250,000 AEEB). In the forestry sector, USAID will focus on 

priority legal and regulatory reforms that will help ensure proper economic governance of forestry 

resources. Assistance will focus on amendments to forestry legislation, strengthening regulation and 

licensing of sawmills, implementation of centralized, transparent and competitive cash auctions for saw 

logs, and the implementation of managerial reorganization and restructuring of the Forestry Management 

Company, a state-owned company. In the tourism sector, local counterparts will be assisted in developing 

business strategies for the Sarajevo, North-West and Herzegovina regions. USAID will support efforts by 

local authorities to reform and streamline permit and inspection procedures that are required to start and 

operate businesses. To ensure that a consensus is reached among all stakeholders on how to reduce 

this regulatory burden, this assistance features the use of working groups, consisting of local government 

authorities and entrepreneurs. Principal contractors: Emerging Markets Group (prime) and Chemonics 

(prime). 

Development Credit Authority ($100,000 AEEB prior year recoveries). USAID will sign Development 

Credit Authority (DCA) loan portfolio guarantee agreements with BiH financial institutions that will reduce 

their risk in making commercial loans to businesses. The DCA agreements will continue to demonstrate 

to other financial institutions that long-term commercial loans are not only possible but also beneficial to 

banks. The DCA program will continue to increase both aggregate lending and the number of financial 

products available to the private sector helping to support sustained economic growth and employment. 

The loans guaranteed under the DCA will be provided to BiH private enterprises in the agro-processing, 

wood-processing and tourism industries, as well as agricultural cooperatives. 
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FY 2007 Program 

SO: 168-0130 Accelerated Development of the Private Sector 

Expand & Improve Access To Economic & Social Infrastructure 

Expand & Improve Access To Economic & Social Infrastructure ($1,000,000 AEEB). During FY 2007, 

USAID will help in establishing a single BiH energy market that will be regulated by a single state energy 

regulatory commission. All daughter companies of the three power companies will be corporatized and 

operate under the headquarters holding company. Throughout 2007, USAID will assist the BiH State 

Ministry of Foreign Trade and Economic Resources to interact and coordinate with the European 

Integration Directorate, allowing BIH to meet all EU directives with regard to the energy sector. USAID will 

assist the state regulatory commission with its interactions with the Energy Community on South Eastern 

Europe and with membership on the regulatory Board. Principal contractor: TBD. 

Improve Economic Policy and the Business Environment 

Improve Economic Policy and the Business Environment ($1,000,000 AEEB). In FY 2007, USAID will 

provide assistance to the BiH tax authorities to implement the harmonized corporate and personal income 

taxes by training the tax administration staff while completing the implementation of real estate taxes in 

the Brcko District. Lessons learned from the Brcko experience will be used to modernize the legal 

framework for real estate taxation in the two entities. After the adoption of this legislation, support will 

focus on the effective implementation of these laws. Principal contractor: TBD. 

Improve Private Sector Competitiveness 

Improve Private Sector Competitiveness ($5,236,000 AEEB). In FY 2007, USAID will support the 

streamlining of the construction permit process to reduce the costs and time required to receive 

construction permits. USAID will provide assistance to local authorities to amend the appropriate 

construction permit regulations. A management information system will be developed to ensure that a 

transparent inspection system is in place, reducing the possibility of misuse and corruption of building 

permits and other inspections. USAID will continue to support competitiveness in tourism and wood 

processing. USAID’s efforts will assist the forestry sector to undertake reforms so that corruption and 

political influence are eliminated, making the sector more hospitable for investment and firm growth. 

USAID strives to create more and better-paying jobs in both sectors. Principal contractors: Emerging 

Markets Group Ltd (prime) and Chemonics (prime). 

FY 2006 Program 

SO: 168-0210 A More Participatory, Inclusive Democratic Society 

Strengthen Civil Society 

Strengthen Civil Society ($3,230,000 AEEB, $622,331 AEEB carryover, $500,000 AEEB prior year 

recoveries). USAID is supporting initiatives such as civic advocacy, coalition building, grass-roots 

community development and domestic philanthropy. USAID is also supporting a local organization to 

develop a code of conduct and service standards for non-profit organizations. USAID technical assistance 

supports justice and finance ministries to improve the legislative and tax frameworks to facilitate the 

development of the non-profit sector. USAID supports indigenous policy analysis and is building the 

capacity of BiH trade unions. Principal contractors and grantees: International Center for Not-for-Profit 

Law (prime), Urban Institute (prime), Center for Civil Society Promotion (prime), American Center for 

International Labor Solidarity (prime), Centers for Civic Initiatives (prime). 

Strengthen Democratic Political Parties 
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Strengthen Democratic Political Parties ($1,700,000 AEEB, $1,168,717 AEEB carryover). USAID is 

providing training on coalition building, assisting in the development and efficiency of party caucuses, 

promoting issue-based politics, developing local policy analysis organizations, and supporting select 

ministries in developing communication strategies. Elections-related activities to promote issues-based 

politics will also be undertaken. Principal grantees: International Republican Institute (prime) and National 

Democratic Institute (prime). 

Strengthen the Justice Sector 

Strengthen the Justice Sector ($3,500,000 AEEB). The Justice Sector Development Project (JSDP) 

focuses primarily on building efficient and effective local institutions. JSDP works on court administration 

reform, legal education, and provides technical and material assistance to the high judicial and 

prosecutorial council and the Ministry of Justice. In FY 2006, a new activity will be undertaken to promote 

more universal access to justice. Principal contractor and grantees: American Bar Association/Central 

European an Eurasian Law Initiative (ABA/CEELI) (prime), East-West Management Institute (prime), 

Center for Institutional Reform and the Informal Sector (prime), Vasa Prava (sub), Public Interest Law 

Initiative (sub) and National Judicial College (sub) and to be determined (TBD). 

Strengthen the Legislative Function/Legal Framework 

Strengthen the Legislative Function/Legal Framework ($206,000 AEEB). In an effort to reform the way 

parliamentarians and their staff carry out lawmaking and oversight duties, USAID will continue to develop 

the institutional capacity of the parliaments by working on procedural reforms. Principal grantee: 

Organization for Security and Cooperation in Europe (OSCE) (prime). 

Support Democratic Local Government & Decentralization 

Support Democratic Local Government & Decentralization ($4,000,000 AEEB). USAID is promoting 

efficient and transparent local governance in a project co-financed by Swedish Sida. Through technical 

and financial assistance, USAID will introduce one-stop shops in forty municipalities, making it easier for 

citizens and businesses to access services. USAID will also continue efforts to make structures of 

governance more rational and efficient through fundamental public finance and legal reforms. USAID will 

use the Development Credit Authority (DCA) mechanism to promote the development of a long-term 

municipal credit market. Principal partners: Development Alternatives, Inc. (prime) and a local partner 

bank (TBD). 

FY 2007 Program 

SO: 168-0210 A More Participatory, Inclusive Democratic Society 

Strengthen Civil Society 

Strengthen Civil Society ($2,300,000 AEEB). USAID will support local organizations with training, 

technical assistance, and grant funds. USAID will also support policy research organizations’ efforts to 

expand their capacity to provide data and research to legislative bodies. Principal grantees: International 

Center for Not-for-Profit Law (prime), Urban Institute (prime), Center for Civil Society Promotion (prime), 

American Center for International Labor Solidarity (prime), and others (TBD). 

Strengthen Democratic Political Parties 

Strengthen Democratic Political Parties ($1,600,000 AEEB). USAID anticipates the need to provide 

limited continued training and technical assistance to political parties in the following areas: coalition 

building, development and efficiency of party caucuses, promoting issue-based politics, developing local 
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policy analysis organizations, and developing communication strategies. Principal grantees: International 

Republican Institute (prime) and National Democratic Institute (prime). 

Strengthen the Justice Sector 

Strengthen the Justice Sector ($2,450,000 AEEB). USAID will continue efforts to strengthen judicial 

institutions and ministries, improve court functions, advance citizens’ legal rights, increase the 

government’s compliance with administrative legislation, and introduce new courses and teaching 

methodologies within law faculties. Principal contractors and grantees: ABA/CEELI (prime), East-West 

Management Institute (prime), other local organizations TBD. 

Support Democratic Local Government & Decentralization 

Support Democratic Local Government & Decentralization ($3,002,000 AEEB). USAID will continue 

efforts to assist local governments in their efforts to promote local economic development by improving 

customer service provisions, modernizing budget and finance methods, and encouraging the use of 

public-private partnerships. An assessment to be undertaken in early 2006 will help determine 

programming priorities. Principal contractor: Development Alternatives Inc. (prime) and other 

organizations (TBD). 

FY 2006 Program 

SO: 168-0311 Sustainable Minority Returns in Support of Creation of a Multi-ethnic Society 

Support Populations at Risk 

FY 2006 Program 

SO: 168-0420 Cross-Cutting Programs 

Program Support 

Program Support ($2,650,000 AEEB, $402,669 AEEB carryover, $624,000 AEEB prior year recoveries). 

USAID will continue support for the operations and personnel costs of program staff who manage 

USAID's on-going programs. Funds will also support new program designs and public outreach activities. 

USAID's participant training program provides short-term technical training to mid and high-level 

professionals from the public and private sectors of Bosnia and Herzegovina. Training programs are 

conducted in the United States, in third countries, and in BiH. They directly complement USAID programs 

in support of economic growth and democracy building. Principal contractor: World Learning (prime). 

Reduce Trafficking In Persons 

Reduce Trafficking In Persons ($800,000 AEEB, $1,446,000 AEEB carryover). USAID’s anti-trafficking 

program will be co-funded by Swedish Sida and is designed to strengthen the capacity of the Government 

of BiH to combat trafficking in persons. Interventions under this program will help the Government of BiH 

to implement the national action plan on combating trafficking in human beings and support the U.S. 

Government Trafficking in Persons Strategy for BiH. Specifically, USAID’s new activity to combat 

trafficking in persons will provide legal services and other assistance to victims of trafficking as well as to 

strengthen the capacity of the Office of the State Coordinator for the Prevention of Trafficking in Persons. 

USAID will support public awareness raising and local empowerment programs. Additional activities 

include protecting vulnerable populations from the risk of being trafficked, specifically children without 

parental care. USAID will continue efforts to strengthen social and child protection services primarily 

through the promotion of foster care. Principal grantees: Save the Children UK (prime) and to be 

determined (TBD). 
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FY 2007 Program 

SO: 168-0420 Cross-Cutting Programs 

Program Support 

Program Support ($2,679,000 AEEB). In addition to continuing to support the operations and personnel 

costs of the program staff, FY 2007 funds will be used for new program designs, evaluations, and public 

outreach. USAID will continue its participant training program by sending more than 100 senior and midlevel Bosnian professionals to training in the United States or third countries or by providing training for 

them in BiH. Selected participants will be decision-makers within their organizations who will have an 

immediate and substantial impact within their institutions in the sectors of economic restructuring, local 

governance, and civil society development. Principal contractor: World Learning (prime). 

Reduce Trafficking In Persons 

Reduce Trafficking In Persons ($1,130,000 AEEB). In FY 2007, USAID will continue to protect vulnerable 

populations from the risk of being trafficked as well as care for victims of trafficking. In cooperation with 

Swedish Sida, USAID will provide legal services and other assistance to victims of trafficking and 

strengthen the capacity of the Office of the State Coordinator for the Prevention of Trafficking in Persons. 

USAID will also support public awareness raising and local empowerment programs. Additional activities 

include strengthening social and child protection services primarily through the promotion of foster care. 

Principal grantees: Save the Children UK (prime) and TBD. 
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Results Framework 

168-0130 Accelerated Development of the Private Sector 

Program Title: Economic Restructuring 

 1: Improved Business Enabling Environment 

 2: Increased Competitiveness of Targeted Sectors 

 3: Rationalized Energy Sector 

Discussion: This SO will continue into USAID/BiH's new strategy period. As such, the Mission recently 

developed a new PMP for this SO. 

168-0210 A More Participatory, Inclusive Democratic Society 

Program Title: Multi-Ethnic Democratic Society 

 1: More Effective and Fair Judicial System 

 1.1: Improved Capacity of Key Institutions 

 1.2: Increased Civil Demand for and Access to Justice 

 1.3: Improved Legal Framework Utilization 

 2: More Effective and Accountable Governance 

 2.1: Improved Capacity of Key Institutions 

 3: More Effective Demand for Democratic Society 

 3.1: More Representative Political System 

 3.2: More Independent and Reliable Information 

 3.3: Improved Capacity of Civil Society Organizations 

Discussion: This SO will continue into USAID/BiH's new strategy period. As such, the Mission recently 

developed a new PMP for this SO. 

168-0311 Sustainable Minority Returns in Support of Creation of a Multi-ethnic Society 

Program Title: Minority Returns 

 3.1: Sustainable Minority Returns 

 3.1.1: Access to Basic Services in Target Communities Re-Established 

 3.1.1.1: Rehabilitated Facilities Servicing Returnees 

 3.1.1.2: Communities Maintaining Service Facilities 

 3.1.2: Improved Economic Self-Sufficiency in Target Communities 

 3.1.2.1: Private Micro-Businesses Expand 

 3.1.2.2: Agricultural Property Returned to Rightful Owner 

 3.1.2.3: Agricultural Land De-Mined 

Discussion: This SO will end in FY 2006. As such, when the Mission revised its Mission-wide PMP after 

our new strategy was approved, the Mission did not revise the Results Framework for this SO. This 

Results Framework will continue until the completion of this SO. 

168-0420 Cross-Cutting Programs 

Program Title: Cross-Cutting Programs