The first public call for the allocation of grants from the Challenge Fund for innovative business ideas was presented yesterday in Sarajevo. Funds in total amount of €2,3 million are allocated for the micro, small and medium enterprises from the territory of Bosnia and Herzegovina and Sweden, as well as startup with innovative ideas, products or services that can reduce unemployment, increase competitiveness and sustainable socio-economic development in BiH.

For potential applicants from the category of start-up can apply for the maximum grant of 10.000 euros, while applicants from the category of micro, small and medium enterprises can apply for the support in the amount of a maximum of 30.000 euros. The deadline for submission of the applications is 12 June 2017.

The Challenge Fund was established in the framework of the Challenge to Change - C2C, which is financially supported by the Swedish Agency for International Development (Sida) / Swedish Embassy in BiH, which will will be in the next four years implemented by the Sarajevo Economic Region Development Agency SERDA and the Republic Agency for Development of Small and medium-sized enterprises. Project partner is the Region Ostergotland, Eastern Sweden. The total amount of the project is €3,2 million.

"In order to be innovative, a business idea requires three things - stimulating business environment, innovativeness, and access to finance. This project focuses on the last two factors. It is not necessary to be innovative product, but it can be innovation in business or business approach that can be competitive in the market", said Swedish Ambassador to BiH Anders Hagelberg.

He added that the program will support project applications of women, young people and vulnerable groups who have an idea, but they can not get loans from banks.

Director of SERDA, Mr. Ševkija Okeric, said that it is expected that about 150 companies use these grant funds.

"Around 32 percent of our companies use innovation in its processes, and we expect this percentage to increase after this project," he stated, adding that the program is very important for growth and employment because companies that use innovation are more competitive in the market.

Director of the Republic Agency for the Development of Small and Medium Enterprises Mr. Marinko Đukić said that the realization of business ideas supported through the project contribute not only to the establishment and development of domestic enterprises, creation of new jobs and stopping the outflow of skilled labour, but also to creation of preconditions that in economic activity are more strongly involved groups that have not been sufficiently represented, such as women, youth, people from rural areas.

"With this project we want to "challenge" those who have the creativity and the courage to make a positive change, not only in their life but also in the life of the community," said Đukić.