Abstract
After a brief overview of the post-conflict transition of Bosnia and Herzegovina, the chapter illustrates local self-government in the two entities before addressing some common and fundamental problems. This analysis is followed by the case of the city of Mostar, which concentrates all the difficulties of local self-government in BiH in one single case. Despite the separate and different systems, local authorities in both entities face similar challenges: an ageing and shrinking population, the decline of smaller towns and an increasing divide between urban centres and rural areas, fragmented and often expensive local administration, debt burdens, disputes over the allocation of resources (especially in FBH), insufficient cooperation. Therefore, according to a large majority of local politicians and mayors, fundamental reforms are needed. However, despite the clear results of the analysis and the unanimous opinion of many local politicians, a real reform momentum or change from below is hardly to be seen or expected any time soon.