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It is an economically prosperous municipality hosting a wide range of industries, services and educational institutions.The city's geographical location close to major European capitals has made it an important industrial and commercial hub nationally.In Ljubija near Prijedor, many Roman age monuments have been found that provide evidence of iron production.
The settlers are probably Christian population who lived in the vicinity and who will rapidly merge with the town which was expanding to the north.
The city underwent extensive renovation between 2006–2009.
The town of Prijedor, within the municipality of Prijedor, is located in the north-western part of Bosnia and Herzegovina, on the banks of the Sana and Gomjenica rivers, and at the south-western hills of the Kozara mountain.
Prijedor is situated in the Bosanska Krajina region.
Prijedor is the third largest municipality in the Republika Srpska entity, after Banja Luka and Bijeljina, and the seventh largest in Bosnia and Herzegovina.
The years after the fire brought an intensive development of the town, private and state-owned structures.