Bosnia and Herzegovina BIH

Executive summary

Bosnia and Herzegovina's central bank maintains an adequate credibility score of 66.2/100, though a significant credibility gap of 99.8/100 highlights ongoing challenges in aligning policy with inflation outcomes. The country ranks 25th in the Europe & Central Asia region, slightly below the regional average of 68.9. With no recent geopolitical developments and limited data on central bank communication or policy rates, the assessment is constrained by gaps in transparency and data availability. Inflation remains a key concern, with the central bank operating under an implicit target regime and a CPI of 4.0%, suggesting some divergence from clear inflation objectives. While there are no immediate geopolitical risks, the lack of policy clarity and communication weakens the central bank's ability to anchor expectations, posing risks to macroeconomic stability and investor confidence.

Peer context

Rank 11/30 in Europe & Central Asia · 67th percentile

Region avg 59.1 · best 68.5 · worst 53.0