In the area of rural development, establishing a system of coordination, adoption and harmonization of laws and regulations, and the adoption of a national strategy are key issues on BiH’s EU integration agenda.

In terms of possible financial support available to BiH, the IPA Component V for Rural Development is designed for the candidate countries and potential candidates. Moreover, the Instrument for Pre-Accession Assistance for Rural Development – IPARD – by which the EU helps these countries to improve the area and bring it to the level of European standards has been available to BiH since January 2013. However, BiH has not yet made the needed progress nor met the conditions to use of funds as there is no administrative structure or established managing authority and IPARD agency that could lead and coordinate activities in this area. A lack of action in the EU integration process from the perspective of rural development can have disastrous economic consequences as BiH is one of the most rural based countries in Europe, where most of its population live in rural areas.

BiH needs funds from the IPA component V for rural development in order to equip and prepare itself for the EU market. Resources and wealth in rural areas of BiH, whose population is currently living in poor social, economic and infrastructural conditions, need help to start and to improve the economic and environmental effects of their work. It is also necessary to improve and establish the infrastructure, training, and modernization of technology. As a final objective, there is a need to increase competitiveness and to improving the quality of products in order to have their place in EU markets and, therefore, to have the chance to share in greater social and economic stability.

In short, urgent, rapid and effective engagement of BiH institutions to establish IPARD structures is needed, not only to be able to use IPA funds, but also to lay the foundation for the development of rural areas in BiH as one of the pillars of social and economic sustainability and stability and further progress towards the EU.