02 July 2019 - The value of trade exchange between Montenegro and Turkey amounted more than 100 million EUR in 2018. Around 45.000 tourists from Turkey visited Montenegro and generated 110.000 overnight stays. Since 2010, Turkey has invested around 187 million EUR into the Montenegrin economy which makes Turkey the fifth most important investor. The first four months of 2019 have recorded positive trends. There are 2.282 Turkish enterprises in Montenegro currently, as reported by the CdM.

This was stated in the meeting between the President of the Chamber of Commerce of Montenegro Vlastimir Golubović and Turkish Ambassador to Montenegro, Gori Songul Ozan.

The officials stated that interstate relations between Montenegro and Turkey are at a very high level and that there is room for further strengthening of economic ties. Turkey will keep encouraging companies to develop their business in Montenegro.

Ozan pointed out that the intention was to attract serious Turkish investors who will create new jobs and share their rich business experience.

“I invite Turkish companies to start long-term, sustainable businesses in Montenegro, in favor of both states,” said the ambassador.

She pointed out that the prerequisites of further development were a connection with the agrarian sector and high-quality road infrastructure while stating that Turkey is ready to contribute to their improvement.

Golubović said that tourism, transport, energy and the agricultural sector were priority branches. He acquainted the ambassador with the current projects in Montenegro, and he also presented to her the organization and work of the Chamber, the oldest business association in the country.

The Chamber takes into consideration ever act which refers to the economy. It builds up international cooperation through participation in numerous international chamber associations.

“The Chamber of commerce is at the service of all its members and Turkish companies in our country,” concluded Golubović.

Read more news about business in Montenegro at TMN's dedicated page.

02 July 2019 - President of Montenegro Milo Đukanović recently spoke with a delegation of OrCam, one of the most successful start-up companies in Israel in the field of digital technology. The visit came after President Đukanović's recent visit to Tel Aviv, during which he got familiar with the technological achievements of several Israeli companies. Israel's readiness to offer advanced technology to Montenegro was confirmed at that time during talks with Prime Minister Netanyahu.

From the Office of the President of Montenegro, they announced that Đukanović expressed satisfaction with continuing the dialogue with OrCam.

"The most valuable assistance, not only for Montenegro but for the whole region, is precisely to reduce the lagging behind and to realize modern technological advancements," the President said, stressing that Israel's leadership position in this area is an opportunity for successful inter-state cooperation.

He particularly noted the satisfaction that the first step in the cooperation project is for the visually impaired. Through the latest technological advancements to the visually impaired, it will be easier to read and write.

"Recognizing the significance of this project, the state will participate in the project," the Đukanović said.

He also added that, on the track of responsible examples of cooperation, this could be an incentive for other projects that will generate a culture of development based on new technologies.

Director Elad Serfaty expressed appreciation for the reception highly appreciating the president's commitment to projects that help visually impaired people, as well as the willingness of Montenegro to model high-tech projects using Israel’s model. He stressed that Montenegro could be the initiator of such cooperation for other countries of the region, but also other companies from Israel. In this context, they expressed readiness to open a research and development center in Montenegro.

OrCam devices such as OrCam MyEye are portable, artificial vision devices that allow visually impaired people to understand the text and identify objects through audio feedback, describing what they are unable to see.

Reuters described an essential part of how it works as "a wireless smart camera" which, when attached outside eyeglass frames, can read and verbalize text, and also supermarket barcodes. This information is converted to spoken words and entered "into the user’s ear." Face-recognition is also part of OrCam's feature set.

Read more news about business in Montenegro at TMN's dedicated page.

01 July 2019 - Director of the Airports of Montenegro, Danilo Orlandić said in an interview for CdM that they are happy to announce that Montenegro already welcomed over 1 million passengers in international traffic.

According to him, the number of passengers exceeded the figures of 2018 by 10%, which in the end justified the optimistic estimations from the beginning of the year.

“Already now we can say that 2019 will be more successful than 2018, a record-breaking year, and based on the announcements, we expect the airports in Podgorica and Tivat to welcome around 2.600.000 passengers. We are happy to hear about this data but it also creates an obligation for us to boost our capacities and provide better service to the passengers,” Orlandić noted.

Commenting on the flock of crowds through Tivat Airport, he noted that crowds at the airports are nothing unusual, as they happen in much larger airports, especially in the peak season.

“I do not see why this should be perceived as bad news. Of course, it is nothing new that we lack space and that is why we constructed departure Terminal 2 in Tivat Airport with the support of the Government of Montenegro,” concluded Orlandić.

Director of the Airports of Montenegro also claims that currently there are around 25% of departing tourists using this facility, and their number is to be even higher in the next few days. In addition, the Airports of Montenegro has the plan to improve conditions for tourists coming to the country by upgrading the existing terminal.

Read more news about business in Montenegro at TMN's dedicated page.

30 June 2019 - Low-cost airlines have undoubtedly boosted the Montenegrin tourist economy, made a positive impact on the extension of the season, revenues and employment, and provided marketing visibility of Montenegro, said the representatives of the Ministry of Sustainable Development and Tourism.

Nine low-cost air companies are currently operating flights from and to Montenegro. First flights were made six years ago.

“According to the official statistical data collected by the Statistical Office of Montenegro, introducing low-cost airlines resulted in an evident increase in the number of tourists, overnights and revenues generated on that basis,” said the representatives of the Ministry of Sustainable Development and Tourism, as reported by CdM.

They said that connecting Montenegro with important emitting markets was one of the best possibilities for a stable rise in foreign guests arrivals.

“General impact on tourism is just as important. The role of low-cost companies as catalysts of the extension of the season is crucial,” said the representatives of the Ministry of Sustainable Development and Tourism.

Due to the considerable distance from the majority of its target emitting markets of western and Central Europe, Scandinavia, and because of its topographic characteristics, Montenegro is recognized as an air destination. In accordance with the Montenegro Tourism Development Strategy 2020, accessibility of Montenegro as a tourist destination represents one of the essential factors for the success of a tourist economy.

“To bring Montenegro closer to emitting markets of Western and Central Europe, in 2011, the Ministry of Tourism engaged in the activities on the introduction of low-cost air companies on the Montenegrin Market. Impact analysis carried out by the Ministry has shown that low-cost companies are going to provoke a rapid increase of the overall market,” said the representatives of the Ministry of Sustainable Development and Tourism.

Until 2013, air accessibility of Montenegro was based on the operation of commercial air carriers and charter air companies.

“Low-cost air companies open a new chapter and contribute to the development of high-quality tourism,” pointed out the representatives of the Ministry of Sustainable Development and Tourism.

Thanks to low-cost air companies airports in Podgorica and Tivat have significantly increased their traffic flow and the cabin occupancy percentage during their flights is very high.

“In addition, flights operate throughout the whole year, which reduces the seasonality,” said the representatives of the Ministry of Sustainable Development and Tourism.

“Available statistics show that Montenegro has been recording a constant and stable increase in the number of tourists and overnights off the main summer season, which means that we are slowly but surely getting closer to the strategic objective of Montenegro – becoming a year-round destination,” said the representatives of the Ministry of Sustainable Development and Tourism.

Read more news about business in Montenegro at TMN's dedicated page.

29 June 2019 - The Central Bank of Montenegro has begun preparations for introducing instant payments, which, when put into use, will significantly increase non-cash payments in Montenegro, said the representatives of this supreme monetary institution to Pobjeda daily.

Instant payments are a new way to exchange money and purchase services in seconds. Compared with wire transfers, they allow the transfer of money from the payer bank account to the payee bank account almost immediately, instead of requiring few business days. These payment systems have been developed (and are currently under development) worldwide as the need faster and reliable transaction is the new economy common requirement.

Instant payments represent electronic retail payment solutions available 24/7/365 and resulting in the immediate or close-to-immediate interbank clearing of the transaction and crediting of the payee’s account with confirmation to the payer (within seconds of payment initiation).

The instant payment provides a number of innovative services, and the Central Bank of Montenegro claims that it will change the cash-payment and non-cash payment ratio.

"The trend of growth of non-cash payment transactions is expected, which will be affected by the instant payment for which the Central Bank started preparatory activities," said the representatives of the Central Bank of Montenegro, answering the question about what trends in non-cash payments is expected in the upcoming period.

Asked how much Montenegro is “lagging” in cashless payments compared to the countries of the region and the European Union, they said that they do not have enough comparative data to make a statement on that matter.

"By continuing to monitor and implement the European Union's legislation in the field of payment services, the CBM has provided all the necessary prerequisites for new services, which has led commercial banks to follow trends in the field of payment services, as do the world's banks. Electronic, card and mobile payments in Montenegro recorded a trend of continuous increase, and banks are increasingly available to customers, "the CBM explained.

Read more about the business environment in Montenegro at TMN's dedicated page.

29 June 2019 - On this year’s list of Global Index of Economic Openness, regularly published by the UK-based Legatum lnstitute, Montenegro is the best-ranked country in the region.

The report covers 157 countries, ranked concerning the degree of openness and the assessment of factors affecting trade capacity, both domestically and internationally.

According to the analysis, Montenegro is ranked 48th, thus moving up four places compared to 2018, when it was ranked 52nd. Individually, according to the categories analysed, Montenegro is ranked 49th in the area of ​​infrastructure and access to the market. According to the investment climate it is ranked 50th, business conditions 51st, and the rule of law 52nd.

When it comes to the region, Croatia is ranked 49th, North Macedonia 59th, Serbia 65th, Bosnia and Herzegovina 93rd, while this report does not cover data for Kosovo.

According to the findings of the report, Montenegro has continuously improved the openness of its economy for ten years and is ranked 2nd in terms of the success of a ten-year change in comparison with other countries covered by the report. Montenegro was ranked 59th in 2009 and since then it has been continuously recording growth on this list.

Taking into account the specific indicators that belong to different pillars, on the basis of which the openness of the economy is analysed, Montenegro is ranked 1st in terms of liberalisation of foreign trade, the existence of a consensus on democracy and market economy as key goals of the society, and the fact that work skills do not represent limitations for business.

Worldwide, Hong Kong is ranked 1st in terms of openness, Singapore and the Netherlands are at the second and third position, while the United Kingdom is ranked 7th and the United States is ranked 9th.

The aim of this research is not only to present the benefits that create economic competitiveness and openness, but to define and measure the level of economic openness in a way that will be useful to political leaders for the implementation of adequate policies that will improve economic stability and prosperity.

Read more about the business environment in Montenegro at TMN's dedicated page.

28 June 2019 - The Montenegrin economy in 2017 and 2018 was characterised by strong economic growth rates of 4.7% and 4.9% in 2017 and 2018, and in this way Montenegro was one of the fastest growing economies in the Western Balkans and among the fastest growing of the EU economies, said the Director General of the Directorate for Economic and Development Policy at the Ministry of Finance Iva Vuković at a press conference on June 27 following the Cabinet session.

Montenegrin Cabinet adopted the Spring Analysis of Macroeconomic Trends and Structural Reforms – 2019 during the session held on June 27.

According to the report of the Government of Montenegro, at the session, it was noted that the greatest positive contribution to the growth of the economy in 2018 came from intensified investment activities and increased consumption of households. Increased investment activity is the result of private investments dominant in the sectors of tourism and energy, while public investments also contribute through increased investment activity in the construction of the highway, as well as other local and regional roads.

The largest contribution of investments to real GDP growth was 4%, while the second largest contribution came from household consumption of 3.4% and this is the result of a record-breaking tourist season, growth in lending activity, growth of remittances from abroad and employment growth.

"Tourism revenues in 2018 exceeded one billion euros, we had twice as much export of electricity, increased aluminum exports and increased export of pharmaceutical production, but all this was not enough to neutralise high imports dominantly for the needs of building investment projects, and that the contribution of net exports to real GDP growth was negative by 2.1% ", emphasised General Director Vuković, adding that Montenegro is at 47% of the EU average, according to Eurostat data (regional GDP per capita comparison as the EU average according to the purchasing power standard for 2018), followed by Albania, Bosnia and Herzegovina, Northern Macedonia and Serbia, with a lower average development compared to EU countries.

In the first quarter, the Monstat stated that the economic growth rate was at the level of 3%, and macroeconomic indicators can see a diverse situation depending on the sector. Montenegro has sectors that experienced extremely strong growth rates in the first quarter, while there are sectors that, due to objective circumstances, experienced a downturn. Thus, the sectors that experienced extremely strong growth in the first quarter is the tourism sector with 44.1% more arrivals and 22.5% more tourist nights, and this could be a signal or indicator of yet another record-breaking tourist year.

Read more about the business environment in Montenegro at TMN's dedicated page.

The Board of Directors of Elektroprivreda Montenegro (EPCG) approved the Decision on Investment for the Environmental Reconstruction of the Thermal Power Plant "Pljevlja" Blok I, and during July the tender will be announced.

The estimated value of the investment is EUR 45 million, and after the announcement of the public procurement procedure, during July, we expect the interest of a large number of renowned world companies with experience in the realization of this project. The Board expects, if the tendering process goes smoothly, the contract to be signed by the end of the current year, the EPCG said after the session of the Board of this company chaired by the president Djoko Krivokapic. The company "Steag Energy Services GmbH" from Germany made the Preliminary design, and after the conclusion of the Contract with the Institute of Civil Engineering from Podgorica, the Technical Documentation of the preliminary design was revised.

The realization of the project for the ecological reconstruction of the existing block of TE "Pljevlja" should be from 2019-2021. and will enable the continuation of the thermal power complex in Pljevlja (TEP-RUP) for the next 20 to 30 years. Reconstruction will ensure fulfillment of the obligations and respect of the strictest environmental protection parameters envisioned by the most recent 2017/1442 EU 2017 Decision. The project includes, together with the revitalization of the landfill Maljevac worth EUR 20 million, the construction of a desulphurization system, denitrification system, the improvement of the electro-filtration plant's operation and the construction of wastewater treatment systems, "the EPCG said.

In particular, they stressed that, in agreement with the ecological reconstruction, within 12 months of the signing of the contract, the source of thermal energy for Pljevlja district central heating would be provided.

Text by Milorad Milosevic, on June 27th, 2019, read more at Vijesti

27 June 2019 - The Second session of the Mixed Commission for Economic Cooperation between the Government of Montenegro and the Government of Azerbaijan took place in Baku recently, during the bilateral visit of the Prime Minister of Montenegro Duško Marković to Azerbaijan. Minister of Economy Dragica Sekulić headed the Montenegrin delegation.

27 June 2019 - Prime Minister of Montenegro Duško Marković and United Kingdom Minister of State for Defence Lord Howe Frederick Richard Penn Curzon noted that Montenegro has proven itself, in a short period of membership in NATO, as a reliable and responsible Alliance member, which shares the values of the partner states. 

After a joint visit to the two Eurofighters Typhoon of the United Kingdom Royal Air Force, which landed yesterday at the Podgorica military airport "Knjaz Danilo", the Prime Minister thanked Minister Curzon for the support of the United Kingdom, stressing that the first lending of allied aircraft in Montenegro testifies to close and stable interstate relations between Montenegro and the United Kingdom.