St. Basil's modesty made him reluctant to occupy high positions. However, his piety, humility and dedication to the Church made him well suited for the role and he was elected as Bishop of Zahumlje and Skanderija, which he reluctantly accepted in 1639. He retired from the position ten years later in 1649.
After his death in 1671 he was buried at the Ostrog Monastery he had founded in Montenegro, and his tomb in a cave-church soon became a site of pilgrimage for Christians (both Orthodox and Roman Catholic) and Muslims drawn by reports of miracles occurring through the intercession of the saint. The Monastery of Ostrog is now one of the major pilgrimage sites in the Balkans, and large numbers of pilgrims gather particularly at Pentecost. St. Basil of Ostrog is commemorated in the Serbian orthodox liturgical calendar on April 29.