A public university, it is the flagship institution of higher education in Republika Srpska, one of two entities of Bosnia and Herzegovina.

The University of Banja Luka maintains close ties with educational institutions in neighboring countries of the former Yugoslavia, especially those in the Republic of Serbia.

[8] In the 2015 fiscal year, the Government of Republika Srpska ensured 34,897,600 BAMs for the university's budget constituting its primary source of funding for standard running costs.

[9] Subsequently University of Sarajevo faculties of engineering, law and economics opened their local branches in Banja Luka.

[9] The plan highlighted priorities of construction of dormitories, student scholarships provisions, expansion and strengthening of the Central Youth Cooperative, construction of sports and recreation center, student clinics and development of mass cultural activities.

[9] In 1989 it became member of the Rector Conference of the Alps-Adriatic Working Group while some of its first scientific articles were indexed in international databases.

The full implementation of the Bologna Process at the University of Banja Luka was initiated in 2006/2007 academic year.

[27] At the end of the same month Confucius Institute at the University of Banja Luka was established aiming at promotion of Chinese language and culture.