UN flags with contingent patches sewn on them were sold to UN personnel in Tito Barracks, Sarajevo, 1999-2000, I think they were put together in Croatia, the "military souvenir dealer" selling them had a small non-runner van as a shop.
I would think similar flags would've been sold around BiH at various army PX's and "CD Alleys", the mini markets set up outside UN military bases.
Your flag presumably predates 1999 as it has "UNPROFOR" insignia on it though it could still have been sold post UNPROFOR as the flags continued to be offered for sale even with insignia of contingents who'd left the Mission, they weren't scrapped.
Could be an individual soldier sewed the badges on a flag.
The Croatian produced flags with patches that I saw tended to have the insignia all produced by the same local manufacturer rather than sourced from the various contingents, like more recent Croatian military insignia, woven with a black fabric backing.
And after all that, I havn't seen that British UNPROFOR badge before, it could be a locally made badge, an unofficial souvenir.
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