22 June 2019 - The gross domestic product (GDP) of Montenegro in the first quarter of 2019 amounted to 876.5 million EUR and in absolute terms, the value added increased by more than 40 million EUR in relation to the same quarter of the previous year, it was announced by the Statistical Office of Montenegro (MONSTAT ).

Statistical Office of Montenegro - MONSTAT is the competent body for the production of official statistics. MONSTAT's role as the carrier of official statistics in the Montenegrin statistical system has been recognized by the domestic and international public.

The report by MONSTAT presents the results of the preliminary calculation of the quarterly gross domestic product, at current and constant prices, using the consumption method for the first quarter of 2019.

The data shows that real GDP growth in the first quarter was three per cent, while the nominal growth rate was 4,4 per cent.

According to EUROSTAT data, Montenegro is at 47 per cent of the EU's development.

"In the first quarter of this year, the most significant growth was recorded in tourism - 38 percent when it comes to tourist arrivals, and 22 per cent when it comes to tourist overnight stays. On this basis, tourism revenues increased by eight per cent in the first quarter, and according to the Central Bank data, they amounted to 47,3 million EUR. Significant growth was also recorded in the services sector, traffic and information and communication," said Gordana Radojević, director of MONSTAT, for RTCG.

The decline in production was recorded in the industrial production sector by 14%.

The representatives of MONSTAT agency said that the increase in GDP in the first quarter was partly a result of the increased inflow of investments, as well as a better collection of taxes, excise duties and customs duties. It was noted that in the first quarter, the unemployment rate was reduced.

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

22 June 2019 - Prime Minister of Montenegro Duško Marković recently visited Karisma's Holiday Villages Montenegro tourist resort in Ulcinj, which had been opened a little over a year ago, reported the Government of Montenegro.

The management of the new tourist resort built on the bases of the former Bellevue and Olympic hotels informed the Prime Minister about the activities it has undertaken and expressed satisfaction with doing business in Montenegro.

Prime Minister Marković visited a new part of the complex, which had been opened last month, including 96 spacious luxury apartments, two new swimming pools, one for adults and one for children and other facilities. PM Marković congratulated the management of the hotel and tourist complex Holiday Villages Montenegro on the new facilities and the fact that already in the pre-season they have 80% of the capacity filled, saying that this data, as well as all parameters, indicates that this tourist season will be very successful, as were the previous two.

Less than two years ago, Holiday Villages Montenegro purchased a part of the HTP "Ulcinjska rivijera" property under a contract involving an investment of over 30 million EUR in hotels adaptations and modernisation and creation of new tourist facilities.

This company continues to invest in the further development of the hotel-tourist complex. At its session on 28 March 2019, the Montenegrin Cabinet gave its consent to the request of the company to enable it to establish a first-rate mortgage over buildings under construction in order to build a new facility - a dependence of a four-star hotel, as well as a facility for technical support.

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

22 June 2019 - The Government of Montenegro has allocated, through the Capital Budget, around 500.000 EUR for the construction of the town square in Racina-čaršija street in Plav. The Public Works Administration signed a contract with Nikšić-based company "LD Gradnja" LTD on the construction of this square. The deadline for the completion of the works is 120 days from the date of the contractor's introduction into the business.

The square will be built in the place of the current courtyard of primary and secondary schools, on an area of nearly 4.000 square meters. The project solution is based on the modern arrangement of city public areas, while retaining the elements of the traditional. There are plans to maintain a healthy and highly cultivated greenery, while the greenery that is removed during the construction will be replaced with new seedlings.

The plateau contains a manifestation area in form of an amphitheater, stands, a pedestrian zone, and a children's playground, as reported Public Relations service within the Government of Montenegro. For the tiling, they provided a natural stone, which is resistant to wear, impact and low temperatures.

The Government of Montenegro also provided 1,09 million EUR through the Capital Budget for the reconstruction of part of the road Rožaje – Štedim, within the fifth phase of works on this section. According to the announcement of the Government of Montenegro, the construction contract was signed yesterday between the Public Works Administration and Rožaje-based company Tofi. Deadline for completion of works is 150 days from the date of the introduction of the contractor into the business.

This is the final phase of the road construction in a total length of 7.2 kilometers, leading to Štedim, the location where the construction of the base station for the new ski center at Hajla is planned. The realization of this project creates the conditions for starting preparations for the construction of the ski resort.

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

21 June 2019 - The cooperation mechanism between Central and Eastern European countries and China today represents one of the most modern ways of connecting 17 countries of the Old Continent with high potentials of the Far East.

Ambassador of “16+1” Mechanism, China’s Special Representative for China-CEE Cooperation Affairs, Huo Yuzhen, knows this part of the world very well. She was in the diplomatic mission to the Czech Republic, and later on the head of embassies in the Czech Republic and Romania.

When it comes to Montenegro, according to her, there is no dilemma about areas where we can establish even better cooperation.

“From China’s point of view, we want to call on even closer cooperation with Montenegro, especially in the area of tourism. That would contribute to the two-way exchange between our cultures, and people as well,” stressed Ms Yuzhen in an interview for Dnevne Novine daily, as reported by the CdM.

She reflected on the possible new areas of cooperation between the two states and continued that different countries have different needs.

"We want to assist the Balkan countries in the construction of motorways, as is the case with Montenegro, but also bridges and power plants in other states,” said Ms Yuzhen.

Chinese companies wish to be engaged even more, according to her, beyond the country’s borders and that’s extremely significant for them. One of the reasons is the fact they want to get to know and reach international standards, and thus gain more experience and enhance quality through international cooperation.

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

21 June 2019 - The U.S. State Department's 2019 Trafficking in Persons Report states that Montenegro is continuously making significant efforts to meet the standards for the elimination of human trafficking fully.

The U.S. State Department, led by US Secretary of State Michael Pompeo, has recently published the 2019 Trafficking in Persons Report. The Trafficking in Persons (TIP) Report is the U.S. Government’s principal diplomatic tool to engage foreign governments on human trafficking. It is also the world’s most comprehensive resource of governmental anti-trafficking efforts and reflects the U.S. Government’s commitment to global leadership on this key human rights and law enforcement issue.

Within the 2019 Trafficking in Persons Report, it was concluded that Montenegro is a country whose Government does not fully meet the minimum standards for the elimination of trafficking; however, it is making significant efforts to do so. "The government demonstrated significant efforts during the reporting period by undertaking awareness-raising efforts and reaffirming its commitment to enact anti-trafficking legislation. However, the government did not demonstrate increasing efforts compared to the previous reporting period. The government did not show evidence of overall progress in prosecuting and punishing trafficking offenders and identifying victims of trafficking," it is stated within the Report.

The U.S. State Department recognized the efforts of Montenegro in regards to the establishment of a multi-disciplinary task force to proactively investigate trafficking and changed case referral procedures to decrease the chances of trafficking cases prosecuted under other offenses and thus praised the country for drafting and adopting a national anti-trafficking strategy for 2019-2024 and a national action plan for 2019.

Prioritized recommendations for Montenegro in relations to the prevention of trafficking include the focus on vigorous investigation, prosecution, and conviction of traffickers under Article 444 of the criminal code, increasing proactive screening of potential victims, especially for women in prostitution, migrants, seasonal workers, and children engaged in begging, providing advanced training to judges, prosecutors, and law enforcement on trafficking investigations and prosecutions and incentivizing and encouraging victim participation in investigations and prosecutions in a victim-centered manner.

The U.S State Department also highlighted the great need for Montenegro to create and finance an accessible compensation fund and inform victims of their right to compensation during legal proceedings and to ensure the Office for the Fight against Trafficking in Persons has adequate independence, capacity, and impact on implementing anti-trafficking efforts.

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

21 June 2019 - President of Montenegro Milo Đukanović, at the invitation of the Romanian ambassador, the EU presiding country, Ferdinand Nagy, was guest at the working lunch with the ambassadors of the EU member states accredited in Montenegro.

President Đukanović thanked Ambassador Nagy for the initiative for the meeting and Romania on the dedicated relationship to bilateral cooperation and the European perspective of the region during a successful presidency. At the same time, he thanked the Head of the EU Delegation and all ambassadors of the EU countries for their unambiguous contribution to the adoption of European standards and value systems in Montenegro on its path of integration. The President emphasized the significance of the timing of this meeting in the context of the yesterday's conclusions of the General Affairs Council, the recent elections for the European Parliament and the published report on the progress of the countries of the WB, as well as the discussion on the EU's strategic movements and its attitude towards the WB.

The President assessed that the Council's conclusions were below what the WB's expectations were, pointing out that a better level of compromise would have been achieved for the stability of the region and Europe and economic and democratic development.

"The balance may be a real expression of how the state sees the EU, but it is not in agreement with what we see from the region," Đukanović said, especially in the context of postponing the decision to open negotiations with Northern Macedonia and Albania, and added that this region will never be stable without integration and can not experience the required pace of economic and democratic development. Therefore, according to the President, the future competitiveness of European politics is extremely important, to find a balance between the expectations of the Balkans and Europe as a global player.

According to the official statement of the President of Montenegro Cabinet, Đukanović said that in the past few years Montenegro has made evident progress and a clear strategy and continuously growing capacities that guarantee that this strategy will be implemented.

"With the awareness of the inability to overcome all the overnight deficits, the President stressed that Montenegro has managed to preserve the multiethnic harmony and emancipate the country from its dependence to the region, and today, as a NATO member, on a protracted road to the EU proves that it is able to cope with all the challenges. Montenegro will continue to uncompromising advancement of the rule of law and preserve a good pace of economic development," Đukanović said among other things.

The host of a working lunch on behalf of the Romanian presidency said that the country would continue to support the enlargement policy in line with individual progress and share the Commission's assessment of the need for the EU to be a credible partner that respects its promises to candidate countries that have fulfilled their obligations. I am very proud that I witnessed the exceptional progress of Montenegro during my diplomatic mandate, Nagy said.

The head of the EU Delegation to Montenegro, Aivo Orav, spoke about the successful presidency of Romania and the conclusions of the Council, which, he said, was the best compromise and the best possible result.

"What is important is that strong commitment to the expansion has been confirmed," Orav said.

He stressed that further efforts are needed in order to improve the rule of law, fight against corruption and organized crime, freedom of speech and media freedom, and that the EU recognizes positive progress in economic development, and cordially welcomes the active role of Montenegro in the region and in relation to its neighbors and one hundred percent compliance with the common foreign and security policy.

"The Union is ready to help Montenegro, including financially, to become part of the EU as soon as possible," concluded Orav.

The ambassadors expressed interest in the position of the President on the current issues of internal and regional policy. Among other things, Montenegro's contribution to strengthening regional stability and a constructive view of Montenegro on EC assessments and Council conclusions has been recognized.

During the working lunch, the interest in the process of passing a new law on religious freedom was especially expressed.

President Đukanović stressed that Montenegro is determined to solve the very delicate issue of the church, and will not resort to provocation, refraining from further straining the situation, but will uncompromisingly defend its interests. In response to the interest in applying ODIHR recommendations, the President expressed optimism about the further work of the Interim Parliamentary Committee, carefully developing a two-thirds consensus.

"In this regard, we will initiate the renewal of the dialogue with the opposition, which we discussed earlier with the EU delegation, and our offer is fully in place," said Đukanović.

Regarding the protection of freedom of speech, Đukanović emphasized that there is no dilemma in the state political course as far as this is an important issue and the importance of the media for the democratic development of society. The aim is to create the conditions for full freedom and independence of the media and maximum professionalization, which can only be a contribution to the democratization of the society by the legislative and institutional framework.

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

20 June 2019 - The Venice Commission adopted a positive opinion on the Draft Law on Freedom of Religion or Belief and Legal Status of Religious Communities, finding that the proposed legal text “brings important positive changes to the existing, out-dated legislation”.

In its opinion, the Venice Commission welcomes “the genuine efforts of the Montenegrin authorities” to replace the out-dated 1977 Law on Legal Position of Religious Communities. Furthermore, the Venice Commission welcomes the approach of the draft law to guarantee not only the freedom of religion, but also the freedom of non-religious beliefs, while commending the liberal approach taken in the provisions that prescribe the registration procedure for religious communities, safeguard their autonomy and guarantee the rights to religious teaching and establishment of religious schools. 

The Opinion also welcomes the legal approach not to prescribe the registration of religious communities as compulsory.

“The approach taken by the draft law and the authorities is welcome. In addition, the Venice Commission stresses that the voluntary character of registration does not mean that religious communities may operate outside the legal system. In modern democracies, the constitutional limits to the state power over religious communities cannot be considered as a barrier to the assertion of the authority of the democratic state. Religious communities are not situated above or outside the national legal order: they have their place – although a special one, safeguarded and protected by specific fundamental rights - within that order,” the document reads, as reported by the Public Relations service within the Government of Montenegro.

Referring to the issue of property of religious communities, the Venice Commission notes: “Concerning the important issue of the properties of religious communities, the Venice Commission understands the concern of the Montenegrin authorities with regard to bringing legal certainty and addressing the issue of possible illegal/abusive registration in the name of religious communities in 1990s of a number of religious immovable properties which may be part of the cultural heritage of Montenegro. This is all the more so, because the state – according to Article 78 of the Constitution - must protect the natural and cultural heritage of the country. The Venice Commission welcomes in this respect that the solutions proposed in this draft law rely on long-standing legal principles of the Montenegrin legal order, and are not based on ad hoc rules, specific for this situation.”

In the Opinion, the Venice Commission has supported the Government's key objective for the Draft Law to guarantee to every citizen of Montenegro the freedom to be, or not to be, a believer of any religion, on their own free will, while affirming the right of the state to protect the property and cultural heritage that belongs to all citizens and to ensure that the laws of Montenegro apply equally to all, on the entire territory of the country. 

The Montenegrin Government delegation, which participated in the work of the plenary session of the Venice Commission, headed by Minister of Human and Minority Rights Mehmed Zenka, thanked the Venice Commission for their expert opinion, while stating that all the suggestions and recommendations for further improvement and clarification of certain legal provisions will be carefully considered and incorporated in the final text of the Draft Law which will be sent to the Parliament for consideration and adoption.

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

20 June 2019 - At its latest session, the Government of Montenegro passed the Smart Specialisation Strategy for 2019-2024, which is the first time that a non-EU country approves a strategy of this kind.

"This strategy is not a strategy of the Ministry of Science, but of the State of Montenegro, which recognises the priority areas that have the greatest potential for economic development, for which research and innovation are key factors that can significantly increase competitiveness. In fact, it is a recipe for the European Union to trace the modern development of an economy based on domestic potentials, but with openness to the international market, and to advance technologically the traditional sectors, especially through digitisation," Minister of Science Sanja Damjanović said in press conference for Ministry of Science of Montenegro.

In this way, investments focus on domains and areas for which the strategy has shown that Montenegro can be competitive on a wider scale. In that regard, Montenegro has identified the following priority areas: sustainable agriculture and food value chain, sustainable and health tourism, energy and sustainable environment, with the technological support of information and communication technologies.

The Smart Specialisation Strategy is one of the conditions for using EU funds, as well as a strict prerequisite for the use of structural funds once they are available to Montenegro. 

It took two years to draft the strategy according to the methodology developed by the EU, which closely followed and evaluated each stage of the process. The Ministry of Science coordinated this process with the support of the Ministry of Economy, but in fact, more than 300 people from the academic, economic, public and civil sectors worked on this strategy, more than half of which were from the business sector. 

"An important benefit from this strategy is to access European thematic platforms for smart specialisation, which will be available to us from today. Thematic platforms are created by the countries of the European Union that have similar strategic priorities within their S3 strategies. In this way, they implement joint projects and enter the international market. Our country is striving to join such platforms," Minister Damjanović explained. 

The Science Minister said that the next step is to define the national structure that will be in charge of both the management and the implementation of the S3 strategy. 

The Smart Specialisation Strategy is adopted for the period 2019-2024. The Strategy will form the basis for priority investment in research, innovation and development. During this period, investments worth about 174 million EUR are planned. Out of the total planned investments, 116.5 million EUR will be provided from the budget, while investments from the private sector are projected at 21.7 million EUR. A total of 33.5 million EUR will be provided through the EU funds and 2,5 million EUR from other international organisations and programmes.

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

20 June 2019 - Sunday will be a non-working day for trade shops in Montenegro, since during its latest session, the Government of Montenegro and the Montenegrin Parliament voted for approval of this amendment to the Internal Trade Act. Total of 44 deputies voted in favor, while there were no abstentions and votes against, as reported by Investitor.

In the trade sector, which employs 37.000 people, through the proposed legal solution, Sunday will be declared a non-working day, and bylaws will bring decisions on exceptions and what are the basic needs of the citizens.

The Ministry of Economy has previously explained that the application of the law will start three months after its publication in the Official Gazette of Montenegro.

"By introducing a non-working Sunday, employers will be able to significantly increase labor productivity, reduce maintenance costs and regular service costs, so such a legal solution cannot affect the reduction in the number of employees, but jobs can be evenly distributed on working days, and employees in the shop have a non-working Sunday as they have employees in other industries," Ministry of Economy stated earlier.

The introduction of a non-working Sunday was proposed by traders in October 2108, and they soon received the support of the trade association of the Chamber of Economy of Montenegro and employers.

The committee then announced that the introduction of a non-working Sunday would "increase the productivity of labor". The employers' union has announced that they will submit an initiative to review the constitutionality of the changes to the Law on Internal Trade.

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

19 June 2019 - The Tourism Council concluded that the tourist indicators in the first quarter of this year significantly exceeded the data from the record 2018, which, alongside the fact that the activities on the preparation of this year's peak season are implemented or being implemented in accordance with the plan, indicates that 2019 will be a very successful tourist year, reported the Government of Montenegro.

In the first three months of 2019, 166,628 tourists visited Montenegro, which is 38.15% more than in the same period of 2018, while 645,630 tourist nights were registered, 22.4% more than in the same period of the previous year. Tourist traffic data recorded by local tourism organisations show an increase of an average of 15.33% in the first 23 weeks of this year (from January to 14 June inclusive) compared to the same period of 2018.

"These data are even more important if you are aware that in the last year, in which Montenegrin tourism broke all records, the number of tourists increased by 10.24 percent compared to 2017, and the number of overnight stays by 8.17%," stated in the Report on the implementation of the activities envisaged by the Plan for the preparation of the 2019 summer tourist season, which the Council discussed. 

The increase in the number of tourists and the number of nights is followed by the growth of revenues - in 2018, by 8.59% more than in 2017, and in the first quarter of this year, revenues increased by 7.9% compared to the record year 2018 when Montenegro exceeded one billion EUR in tourism revenues for the first. 

Significant increase in the number of tourists in collective accommodation was recorded from the market of Germany (the number of arrivals for the first four months was five times higher than in the same period last year); doubled tourist traffic was recorded from the markets of Austria, the United Kingdom (32.25%), France (an increase of 11.23%) and Poland (an increase of 10.24%). 

The Council noted that such good tourist trends are primarily the result of improving the quality of accommodation capacities and the development of new tourist facilities and offers. About 70 four-star and five-star hotels were opened during the mandate of this Government, while about 30 projects related to product development were supported in last year alone. Air transport accessibility has been improved and a number of activities have been implemented to promote the tourist offer by the National Tourism Organisation and the Ministry of Sustainable Development and Tourism. 

Council President Duško Marković emphasised that the impressive growth of tourism as a leading economy, by its scope and financial effects, has again positioned Montenegro as a top tourist destination.

Despite the significant improvements that are evident from year to year, the Council pointed to constraints that exist when it comes to occasional traffic jams, the permeability of borders, execution of construction works during the season, improvement of utility services. It was noted that the constraints need to be addressed through additional coordination of the state authorities responsible for these issues and institutions at the local level. Furthermore, the Council stressed the need for additional engagement when it comes to employing foreigners and defining systemic solutions related to the education and training of lacking staff in the tourism sector. In order to effectively monitor the development of the tourist season and undertake measures to overcome the challenges, especially during the upcoming peak tourist season, the Council established a Coordinating Body for the season monitoring headed by Minister of Sustainable Development and Tourism Pavle Radulović.

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