EBRD supports expansion of automotive production in Bosnia and Herzegovina

• EBRD lends €15 million to Selzer Automotive Bosnia
• Investment to expand production of components for electric and low-emission hybrid vehicles
• Project to strengthen workforce skills and promote employment opportunities for women and young people

The European Bank for Reconstruction and Development (EBRD) is providing a €15 million loan to Selzer Automotive Bosnia, a manufacturer of ready-to-install metal components and assemblies for the automotive industry.

The investment will finance new machinery, tools and production equipment at the company’s plant in Bosnia and Herzegovina. Most of the initial loan will support the production of components for electric and low-emission hybrid vehicles, including rotor shafts used in electric motors and components for hybrid-vehicle transmissions.

The project will help Selzer Automotive Bosnia expand production, improve its operational performance and strengthen its integration into European automotive supply chains. The company manufactures precision metal components and assemblies for automotive transmissions, brakes and engines, supplying major international automotive manufacturers and Tier 1 suppliers.

The EBRD will also support the company’s workforce development. The project envisages training and employment opportunities for at least 100 additional workers, with a focus on young people and women. Planned measures include establishing structured training for computer numerical control (CNC) and automated process operators, developing cooperation with vocational schools and strengthening equal-opportunity employment practices.

Stela Melnic, EBRD Head of Bosnia and Herzegovina, said: “This investment supports the continued development of Bosnia and Herzegovina’s manufacturing sector and its closer integration into European value chains. By helping Selzer Automotive Bosnia expand production of components for electric and low-emission vehicles, we are supporting a more competitive and greener economy. Just as importantly, the project will invest in people by developing technical skills and creating new employment opportunities, particularly for young people and women.”

Michael Stötzel, Chief Executive Officer of Selzer Group, said: “The EBRD’s financing of €15 million is a strong vote of confidence in the Selzer Group and the future of our operations in Bosnia and Herzegovina. It enables us to invest in new machinery, advanced manufacturing technologies and increased production capacity for electric and hybrid vehicle components. This investment will strengthen our competitiveness, help secure local jobs over the long term and lay the foundation for further investment and growth.”

“For me, it is particularly important that this development also provides a long-term perspective for our employees,” he continued. “Through targeted training and the development of young talent, we aim to strengthen local expertise and create new career opportunities. We thank the EBRD for its trust and partnership in supporting the continued development of our operations in Bosnia and Herzegovina.”

Selzer Automotive Bosnia is part of the Selzer Group, a German automotive industrial group that develops and produces metal components and assemblies for automotive transmissions, brakes and engines, as well as industrial applications. The group has operated in Bosnia and Herzegovina since 2021 and is owned by German investment company Mutares.

The investment is aligned with the EBRD’s priorities in Bosnia and Herzegovina by supporting private-sector competitiveness, workforce skills and the transition towards lower-carbon technologies.