With the largest total amount of allocated funds and the highest number of supported projects in the Western Balkans region, Bosnia and Herzegovina has distinguished itself through exceptional success. The supported projects connect vocational education and training (VET) institutions and companies with the aim of enhancing workforce skills and strengthening the competitiveness of the domestic economy.
Addressing those present, the President of the Foreign Trade Chamber of BiH, Ahmet Egrlić, emphasized that this very link between education and the economy is key to long-term development.
"The readiness of our companies to improve cooperative education programs and the quality of student training is best expressed in this fourth call. This is significant progress, and thanks to these funds, educational institutions will secure new equipment and machinery necessary for the practical training of students," stated Egrlić.
Grants were awarded to consortia that bring together schools, universities, and companies to jointly develop programs aligned with the real needs of the labor market. These projects introduce a model where students and trainees acquire knowledge directly through collaboration with the economy, both in classrooms and in the workplace.
The Ambassador of the Federal Republic of Germany to Bosnia and Herzegovina, Alfred Grannas, highlighted the importance of investing in people and knowledge as the foundation of any stable economy, while the Ambassador of Switzerland to Bosnia and Herzegovina, Gabriele Derighetti, further emphasized the importance of joint action to provide young people with quality opportunities for education and employment.
"The modernization of vocational education also represents a direct contribution to reforms on the path toward the European Union. Investing in knowledge and people is crucial for a prosperous and European future of Bosnia and Herzegovina. I am pleased that we are successfully implementing the Regional Challenge Fund, both in BiH and across the Western Balkans. This is another example of a strong and long-term partnership, and we believe our cooperation will continue to contribute to the progress of Bosnia and Herzegovina on its European path," conveyed Ambassador Grannas.
Ambassador Derighetti added that the good news is that the private sector in BiH is increasingly willing to participate in such activities, and alongside the quantity, the quality of applications has also improved.
An important segment of the event was the panel discussion with representatives of relevant education ministries from different parts of Bosnia and Herzegovina, where challenges and opportunities for improving vocational education were discussed, as well as the role of international projects in reforming the education system.
The project coordinator of the Regional Challenge Fund at the Western Balkans 6 Chamber Investment Forum, Balša Ćulafić, emphasized that such cooperation models are already yielding concrete results across the region.
"This is another important step in strengthening the skills needed in the market. The fourth call has achieved very good results—so far, we have supported 24 projects, with nearly 10 million euros. This is a clear signal that we are investing where the greatest strength lies, which is the development of industry, new competencies, and smart manufacturing. These skills are key to the competitiveness of companies," he said.
Out of a total of 187 applications from the Western Balkans region, 32 came from Bosnia and Herzegovina, of which 12 were selected for funding. The projects come from across the country—from Banja Luka and Bijeljina, through Sarajevo and Travnik, to Mostar, Ljubuški, and Tuzla—and involve over 70 companies.
You can learn more about the awarded projects here.
The supported programs are focused on occupations and skills that are particularly in demand today: from CNC operators and welders, through electrical engineering and mechatronics, to production digitalization and green technologies. What sets them apart is their strong practical orientation—students and trainees will not only learn from textbooks but also through practical work on modern equipment and direct collaboration with companies.
The Regional Challenge Fund was launched six years ago with the aim of helping the economies of the Western Balkans move closer to the European market through investments in knowledge and skills. Within the four cycles so far, a total of 24 projects in Bosnia and Herzegovina have been supported, with investments of nearly 10 million euros and partnerships involving around 150 companies.
The German Federal Ministry for Economic Cooperation and Development (BMZ) provided 73.4 million euros for the Regional Challenge Fund, while the Government of Switzerland, through the Swiss Agency for Development and Cooperation (SDC), co-financed an additional 10 million euros. The funds were entrusted to the Development Bank KfW, and the project is implemented by the Western Balkans 6 Chamber Investment Forum (WB6-CIF).
For more information, follow the Regional Challenge Fund through official social media channels and the website.
