Bosnia and Herzegovina is experiencing significant growth in AI adoption, with an adoption rate reaching 38% in 2026. Despite modest AI investments of €120 million, the AI sector contributes notably to the economy, generating €220 million in revenue. The AI hallucination rate, a key metric for AI reliability, is projected to be 12.5%, reflecting ongoing improvements in model accuracy and safety measures.
Research activity in Bosnia and Herzegovina remains active, with 1,200 AI-related publications in 2026. The country’s focus on AI development is driving innovation, especially in sectors like finance, healthcare, and public administration. As AI continues to mature, efforts to reduce hallucination rates further are expected to enhance trust and deployment across various industries.