Montenegro overview

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In Montenegro we focus on:

  • Making the economy more competitive, integrated and green.
  • Using sustainable tourism as a lever for SME development and investment in related industries – such as agribusiness and sustainable municipal infrastructure – are the focal points in the document.
  • Working with the private sector to help it become more competitive including developing agribusiness value chains and backward linkages in the tourism sector. Connectivity and regional integration will be improved by expanding cross-border transport and energy links, in line with the Connectivity Agenda for the Western Balkans. And the green economy in Montenegro – which marks 25 years since proclaiming itself a “green state” – will be supported via sustainable tourism among other things.
  • Leveraging the country’s comparative advantages to develop agribusiness value chains, providing both investment and advice, to help Montenegro produce more local food for the tourism industry and decrease imports. Tourism – which is the main export product and growth driver in the country – is a big focus of the strategy which lists the following areas of potential EBRD engagement: “Upgrading the existing hotels stock through privatisation, addressing the seasonality issue by promoting development of congress tourism and health tourism facilities, and modernisation of related municipal and environmental infrastructure.

The EBRD’s latest Montenegro strategy was adopted on 15 September 2021.

Montenegro's policy response to the coronavirus crisis

The EBRD is monitoring Montenegro's policy response to the coronavirus pandemic. Our biweekly publication identifies the major channels of disruption as well as selected impact and response indicators.

Learn more

Current EBRD forecast for Montenegro’s Real GDP Growth in 2021 8.5%

Current EBRD forecast for Montenegro’s Real GDP Growth in 2022 6.0%

The economy experienced a major recession in 2020. GDP growth had already slowed in 2019 (to 4.1 per cent), as large investment projects neared (the Bar-Boljare highway) or achieved (power link to Italy) completion, although the tourist season was the strongest on record. In Montenegro, around one fifth of GDP normally comes from tourism. Due to the Covid-19 pandemic and strict border policies, foreign tourist arrivals declined by 85 per cent in 2020. Consequently, GDP contracted sharply by 15.2 per cent, primarily on the back of falling services exports (tourism).

Montenegro in the EBRD’s 2020-21 Transition Report


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