The analysis of the situation in Bosnia and Herzegovina highlights the complexities of the fight against terrorism. This is a country that in the last 15 years has experienced aggression and genocide. Since the Dayton Peace Agreement was signed (1995) its citizens have struggled with post-war devastation, a slow reconciliation process, and economic difficulties. The situation is further complicated by the threat of terrorism. This article addresses the question of how real is the threat of terrorism in Bosnia and Herzegovina, along with possible ways to prevent it. In order to answer this question, the author starts with a wider international picture and within that framework analyses the stereotypes of so-called ‘Islamic terrorism’, the dehumanisation of Muslims in Western media, and the brutalisation of American and British soldiers. Pictures of torture in Abu Ghraib and Guantanamo Bay prisons have supported the deterioration of liberal values and supported the argument used by terrorists that Muslims are victims of the West. On the micro level this image has also been reflected negatively on Bosnia and Herzegovina. Apart from a feeling of the general victimisation of Muslims around the world, the injustices done to Bosnian Muslims, particularly the genocide committed by Serbian forces and the denial of it, could lead to further radicalisation. Among all of these complicated circumstances the State Court of Bosnia and Herzegovina has successfully prosecuted the first case of terrorism in the wider region. In analysing the investigation and the judgement in the Bektasevic and others case, the author emphasises the optimal direction of future work on the prevention of terrorism. Apart from secondary sources, this paper draws conclusions based on an analysis of 11 interviews, three of which were conducted with Wahhabi converts in Bosnia, two with former members of the Wahhabi community, while six other interviews were conducted with professionals from law enforcement agencies that work on tasks related to the fight against terrorism.