Bosnia and Herzegovina is a country in southeastern Europe, on the Balkan Peninsula, bounded on the north and west by Croatia, on the east by Serbia, and on the south by Montenegro. It has a territory of about 50,000 square kilometers ( approximately 30,000 square miles ). Major cities include Sarajevo, Zenica, Banja Luka, Mostar, and Tuzla.

In ancient times ( 1st Century BCE ), the area now considered Bosnia - Herzegovina formed part of the Roman province of Illyricum. Following the collapse of the Roman Empire in the 5th Century AD, the Goths and then the Slavs conquered the territory. By the 12th Century Hungary incorporated the area into one of its domains. In 1483 the Ottoman Empire had conquered most of both Bosnia and Herzegovina and controlled the territories for the next 400 years Austria - Hungary annexed the two provinces in 1908. There was much ethnic tension in the area with the Austro - Hungariansand Germany opposing the growing Serbian nationalism,while Russia and Great Britain, supported it.

In 1918, following the overthrow of the monarchy of Austria-Hungary at the end of WWI,Bosnia and Herzegovina merged under the Serbian monarchy of Aleksandar I ( 1921 to 1934).

In 1929 Aleksandar renamed the kingdom Yugoslavia.During World War II ( 1939 - 1945 ), the Axis Powers invaded and divided Yugoslavia. At the end of the war, J.B. Tito, a Croatian Communist, created a Yugoslav federationincluding Bosnia and Herzegovina.

And finally in 1990 the Communist Party relinquished power in Yugoslavia, and an assortment of political parties formed throughout the country. The banknote history of this tiny nation has been equally mixed - up, with high inflation and many different issues. But featured here is the only uncut paper money of Bosnia - Herzegovina. The 1,000 Dinar note was issued in January of 1992and shows the bridge at Mostar ( a city in the south west on the Neretva River ).