industry was destroyed and about 45% of the existing houses as well.
Since then Gorazde's industry has been systematically developing, its main branches being manufacturing, building, transport, trade and crafts. In 1981 Gorazde's GDP per capita was 70% of the Yugoslav average.
After the II World War a new period, marked by a tremendous social and economic rise began. A number of new industrial enterprises have been founded, among which the most significant is the Nitrogen Factory.
After breakup of Yugoslavia
From 1992 to 1995 during the Bosnian War, Gorazde was one of six Bosniak enclaves, along with Srebrenica and Žepa, surrounded and besieged by the Bosnian Serb Army. In April 1993 it was made into a United Nations Safe Area in which the United Nations was supposed to deter attacks on the civilian population. Between March 30 and April 23, 1994, the Serbs launched a major offensive against the town. After air strikes against Serb tanks and outposts and a NATO ultimatum, Serbian forces agreed to withdraw their artillery and armored vehicles 20 km from the town. In 1995 it was again targeted by the Bosnian Serbs, who ignored the ultimatum and launched an attack at UN guard posts. Around 350 UN servicemen were taken hostage but the remaining men from the Royal Welch Fusiliers who were already stationed there and reinforcement Muslim Serbian troops prevented the Bosnian Serbs from taking over the town. It avoided the fate of Srebrenica, where the Bosnian Serbs continued on to after the failed attempt.
After the negotiation of the Dayton accords, a land corridor was established between Gorazde and the Federation
