This analytical work was conducted by a team led by Yewande Awe (Task Team Leader) and comprised Maja Murisic (GENLC), Esma Kreso (GENEC), Nina Rinnerberger (GENEC), Ian Forde (GHN03), Oznur Oguz Kuntasal (IFC), Michael Brody (GENE2), Elena Strukova (GENEC), Santiago Enriquez (GENDR), Darko Paranos (GHN03), Maja Colovic-Daul, and Paula Posas (GENGE). The extended team included Markus Amann, Jens Borken, Chris Heyes, Janusz Cofala, Gregor Kiesewetter, and Zbigniew Klimont (International Institute for Applied Systems Analysis). The peer reviewers at the Concept stage of the study were Helena Naber, Craig Meisner, and Ernesto Sanchez-Triana. The report benefited from valuable comments by peer reviewers Helena Naber, Craig Meisner, and Gabriela Azuela Elizondo. The team expresses gratitude to the Government of Bosnia and Herzegovina and several stakeholders who collaborated with the team, including the Ministry of Foreign Trade and Economic Relations of Bosnia and Herzegovina (BiH); the Federation of Bosnia and Herzegovina (FBiH) Ministry of Environment and Tourism; the FBiH Hydro-meteorological Institute; the Republic of Srpska (RS) Ministry of Spatial Planning, Civil Engineering, and Ecology; the RS Hydro-meteorological Institute; and the Canton Sarajevo Ministry of Physical Planning and Environment.The team thanks the World Bank country management team, including Linda Van Gelder, Emanuel Salinas Munoz, and Simon Ellis, for their guidance and support. The team is also grateful to the Environment Global Practice management team, including Kseniya Lvovsky, Ruxandra Floroiu, Laura Tuck, Karin Kemper, and Benoit Bosquet, for their guidance and support. Grace Aguilar, Linh Nguyen, and Samra Bajramovic are gratefully acknowledged for their administrative support.