ABSTRACT

The long-term future of Bosnia remains in the balance. Instead of enjoying

democratic stability and prosperity, Bosnia continues to experience a low-

intensity peace. Nationalist rhetoric still predominates. The economy is

weak, corruption is extensive, and collusion between political power and

illegal interests is widespread. Civil society struggles to establish itself as an

arena for social and political change. Minority returnees are often intimidated and excluded from the economic and social life of their communities.

Many have sold their properties to relocate again in areas controlled by

their own ethnic groups. Despite its growth in size and competencies, the state

still lacks many of the capabilities of functioning and effective institutions,

and ministries remain chronically understaffed.