In BiH, development strategy is created at state, entity and cantonal levels. No nationwide strategy exists both for the development of SMEs and for an institutional innovation framework. The central strategy document is the Policy of Electronic Communications of BiH 2017-2021, which articulates a vision for a digital society based on knowledge and defines seven pillars of the ecosystem. This document identifies ecosystem players, describes their roles and how they are related, lists missing regulations, makes recommendations and proposes actionable measures to improve the current situation. The document also identifies major threats to the ecosystem, including the following: the authorities’ indifference and irresponsiveness towards the ICT centric innovation ecosystem; a lack of financial support from government for ecosystem development; inadequate skills to qualify for and win EU funding. While the governments of the two entities that make up the country – FBiH and RS – co-created development strategy documents which have common goals for developing the innovation ecosystem. 

In 2023, public consultation process on the draft decision on the adoption of the electronic communications sector Policy of BiH 2023 - 2027 has been opened. 

There is no institutional framework at state level to support the development of SMEs, and there is a consequent shortage of financial instruments to promote innovation within SMEs. The FBiH Government provides some financial support. Both the FBiH Development Bank and the RS Investment and Development Bank offer favourable credit terms for SME development. Financial resources are segmented at micro level and coordinated mechanisms are missing. Private investments are limited when it comes to ecosystem research. Available resources offered through EU funds are underutilized.

New technologies in support of creativity and innovation

A nationwide Intersectoral Advisory Board has been established to support the digital transformation of education in BiH under the UNICEF–ITU Giga initiative. Its mandate includes connecting all schools to the internet, enabling digital access to resources, and shaping policies for technological integration—especially benefiting youth in underserved communities. 

At Vogošća High School, pupils developed the Edu Tech Desk, a smart, mobile classroom desk with an integrated display. This initiative emerged from the Young Entrepreneurs Academy, a program supported by UNDP’s EGG2 project and funded by Norway, aimed at cultivating creativity and tech-based innovation among youth. 

Under the Erasmus+ framework, the Becoming Digitally Conscious initiative includes a social media campaign titled “Ambassadors of Healthy Digital Use”, led by youth changemakers. It promotes responsible tech use and digital ethics through training and workshops across BiH.

Facilitating access to culture through new technologies 

The Business Innovation and Technology (BIT) Center in Tuzla is an incubator providing hard and soft infrastructure for ICT-based start-ups and SMEs. BIT center Tuzla is regarded as representing good practice. Since 2005, it has hosted over 53 companies, employed more than 500 highly skilled individuals, and has enabled more than 6,000 people to improve technical and entrepreneurial skills through workshops and training programs. Partnering with the Faculty of Electrical Engineering in Tuzla, the BIT Center established an ICT research lab and implemented the HERD project focused on collaboration and technology transfer across university and industry. This collaboration is continuing as ERASMUS PLUS project BENEFIT, in which BIT Center fosters soft infrastructure in the local innovation ecosystem and acts as a bridge between academia and industry.

From 2011-2016, the USAID implemented the USD 4.7 million Partnership for Innovation project to help young market entrants improve their skills and work readiness to prepare for jobs in the ICT sector. The project consisted of 24 internship programmes, eight work-readiness courses, and fifteen advanced software programming training courses for 2,000 young people. It also helped SMEs to adopt and better use ICT technologies and digitally enabled processes to improve their efficiency and market competitiveness. The project was implemented with partners from Sarajevo, Tuzla, Banja Luka and Mostar.

Pop-Up! Sarajevo is an annual student visual communications festival organized by the Academy of Fine Arts in Sarajevo. Pop-Up! Sarajevo hosts exhibitions, workshops, and screenings focused on digital illustration, animation, motion design, and new media, fostering youth creativity through tech-driven arts. 

Sarajevo Youth Film Festival (OFF Sarajevo) is a prominent annual festival that celebrates youth filmmakers with a focus on youth-produced and themed short films, alongside educational masterclasses and networking events, including in digital media and film production. 

SOS Design Festival is an influential design event organized by the Academy of Fine Arts and National Gallery. It combines lectures, workshops, exhibitions, and PechaKucha nights, introducing students to digital product design trends and encouraging tech-based creative expression. 

Europe House Sarajevo – Multimedia Cultural Hub is a multicultural center featuring a modern multimedia space equipped for new media production, libraries, and cultural events. It hosts initiatives like “Dealing with the Past”, combining digital storytelling and film to engage youth in cultural dialogue across the Western Balkans.