How To Get Citizenship By Investment In Bosnia And Herzegovina?

• Published date: 22 December 2020
• Subject Matter: Corporate/Commercial Law, M&A/Private Equity, Corporate and Company Law
• Law Firm: Odvjetnicki ured Ljubic
• Author: Mr Ivan Ljubic and Marin Ljubic

1. INTRODUCTION - CITIZENSHIP AND INVESTMENT FRAMEWORK

Bosnia and Herzegovina, like most other countries in the world, has a single regulation governing the issue of citizenship. This is the Law on Citizenship of Bosnia and Herzegovina and it prescribes all the grounds for acquiring citizenship of Bosnia and Herzegovina, including the possibility of acquiring citizenship for foreigners which is prescribed under the straight conditions. Citizenship with itself brings many benefits, but primarily gaining that status means easier economic activity in the certain country. Same goes with Bosnia and Herzegovina, as natural person with citizenship does not have to go through a complex procedure during company establishment. This procedure refers to the obtaining a residence and work permit, which are regulated by many different Laws (Law on foreigners BiH etc). By obtaining citizenship of Bosnia and Herzegovina you no longer fall under term foreigner as you are fully operating citizen (no matter it's your second passport), which brings you under the rule of "domestic" Laws such Labour Law of BiH and Law on Companies.

Therefore, it is always easier for natural persons as a domestic citizen to establish a company and start a business.

2. DUAL CITIZENSHIP BY INVESTMENT IN BOSNIA AND HERZEGOVINA

As we know - first rule of obtaining any second citizenship is checking up your home country regulation, and if there's no any restriction regarding this subject it may be possible to hold dual citizenship, meaning you can pass on without renouncing the former. Several European countries have enacted liberal laws regarding the acquisition of citizenship for third-country nationals, with the aim of attracting more capital and investment to their countries, where everything bring down to prescribed amount of investment for obtaining desired citizenship (e.g. Montenegro, Malta, Portugal etc.). In addition, some countries simply offer the possibility of direct "buying" citizenship (mostly small and isolated overseas countries/islands).

The Law on Citizenship of Bosnia and Herzegovina does not explicitly prescribe the possibility of acquiring citizenship with a certain amount of investment in Bosnia and Herzegovina.

However, according to the Article 15 of the mentioned Law, one can still sense the possibility of acquiring citizenship for foreigners who are willing to invest in Bosnia and Herzegovina.

This Article refers facilitated acquisition of citizenship for foreigners who are...