The Republic of San Marino and Bosnia and Herzegovina (hereinafter referred to as "the Contracting Parties");

Desiring to promote greater economic cooperation between them, with respect to investment by nationals and legal entities of one Contracting Party in the territory of other Contracting Party;

Recognising that agreement upon the treatment to be accorded to such investment will stimulate the flow of private capital and the economic development of the Contracting Parties;

Agreeing that a stable framework for investment will maximize effective utilization of economic resources and improve living standards;

Have agreed as follows: