Bosnia and Herzegovina and Serbia and Montenegro have delimited most of their boundary, but sections along the Drina River remain in dispute; discussions continue with Croatia on problem sections around Kostajnica on the Una River and villages at the base of Mount Pljesevica.

Minor transit point for marijuana and opiate trafficking routes to Western Europe; remains highly vulnerable to money laundering activity given a primarily cash-based and unregulated economy, weak law enforcement and instances of corruption.