The Monetisation of Assets through Concession and Applicability in the Sector of Energy in Bosnia and Herzegovina

The Monetisation of Assets through Concession and Applicability in the Sector of Energy in Bosnia and Herzegovina

BAJRAMBAŠIĆ, Izet

Financial effects of monetisation through concession in the sector of energy in Bosnia and Herzegovina (BiH) may well increase the level of domestic investments, production, exports, employment and general economic growth, without additional higher borrowings and loss of ownership in these strategically important industries. These new financial opportunities are necessary for faster economic development of the country, especially in the transitional period, as this development process is a great challenge in modern world economy. It requires significant commitment and coordinated efforts of the public and private sector. The case study of Terminal Kakanj Power Plant (KPP) presented in this paper show that it is possible to implement monetization of assets through concession in the energy sector in BiH. The empirical results provide evidence of positive correlations between monetisation through concession process and economic development in BiHor other transition and development countries. Key words: monetization, concession, development, financial effects, energy sector. JEL classification: O–Economic Development

Article
PeerReviewed

ISSN 1986 – 8502

doi: http://dx.doi.org/10.14706/JECOSS16612

International Burch University

2016

2970