Three nations exist in Bosnia and Herzegovina today: Serbs, Croats and community of Bosnian Muslims or - Bosniaks. First two were nationally constituted in the 19th century during the formation of most European nations, while the third was recognized one century later. Reasons for the late formation of muslim, and later on Bosniak nation in Bosnia and Herzegovina is the issue which is being researched in this paper. Paper provides an overview about formation of Bosniak nation while taking into account the parallel constitution of muslim nation where, in both cases, the basic construct comes in the shape of Islam. This confirms the historic thesis which states that religion in Bosnia and Herzegovina is the 'watershed of nation' and that is w...