Bosnia-Herzegovina Insurance Q1 2021

Bosnia-Herzegovina Insurance Q1 2021

Key View:

We expect that the Covid-19 pandemic will cause a brief recession in Bosnia-Herzegovina. This outcome will causepremiums to contract - in both the life and the non-life segments - in 2020. However, real GDP should return to the long-termgrowth trend (of about 3% annually) by early 2021. This quarter, we have adjusted our projections of premiums slightly. By mostmeasures, the insurance sector will remain under-developed in 2024, the final year of the forecast period. The sector isstrengthened by the dominant positions of subsidiaries of major Austrian companies.