The Strengthening Market Systems and Communities Project – Market Systems Assessment is a rapid, systems‑oriented study designed to inform Caritas Switzerland’s forthcoming livelihoods and local economic development programming in Bosnia and Herzegovina. Implemented across eight municipalities (four legacy and four new), the assessment identifies high‑potential sectors—with a focus on tourism, agrotourism, and small‑scale manufacturing—and analyzes the systemic constraints limiting inclusive economic growth. The assessment adopts a market systems development (MSD) approach to examine how market actors, public institutions, policies, infrastructure, and social norms interact to shape business performance and employment opportunities. Special attention is given to the role of municipalities as facilitators of economic development, opportunities for inter‑municipal collaboration, and pathways to engage women, youth, returnees, and other groups vulnerable to migration. The final output provides actionable, prioritized recommendations to guide Caritas’ intervention design and investment decisions for the next project phase.

MarketShare Associates (MSA) served as the lead technical partner responsible for the design, implementation, analysis, and reporting of the Market Systems Assessment. MSA’s role included: Leading the overall assessment design and methodology, ensuring alignment with market systems development (MSD) principles, Caritas’ strategic objectives, and the Bosnian context. Conducting sector prioritization using a structured competitiveness ranking matrix to identify municipalities and sectors with the strongest potential for inclusive and sustainable growth. Analyzing systemic barriers, including policy constraints, coordination failures, infrastructure gaps, and normative factors that limited business expansion and job creation. Mapping key market actors and relationships, covering private sector firms, service providers, municipalities, and enabling environment actors. Assessing municipal capacity and incentives, including opportunities for inter‑municipal collaboration and public–private partnerships. Integrating gender, youth, and inclusion lenses throughout the research, with a focus on populations most at risk of economic exclusion and outward migration. Delivering high‑quality outputs, including an Inception Report, a Preliminary Findings Report, and a Final Report with clear, actionable recommendations. Facilitating a participatory validation workshop with municipal and project stakeholders to test findings, build ownership, and refine recommendations