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November 2011

Business News EBRD Revised Forecast For Montenegro According to the newest forecast of European Bank for Reconstruction and Development (EBRD) growth of the Montenegrin economy this year will amount to 2.1%, which is lower than previous prediction of 2.5% made in May. However, the forecast for 2012 has not changed – Montenegro expects growth of 3%. Experts say that credit provision continues to decrease, while industrial production and exports are subject to significant fluctuations. The Bank also sees inflation in Montenegro to be at 3.4%, which is considerably higher than last year’s 0.5%. However, next year inflation will be among lowest in the region, together with Croatia and Slovenia (3.2 and 2.5% respectively).

Business Environment Macroeconomic Outlook Capital Market Banking Sector Privatization and Investments Economic Freedom Business News In the Spotlight Coming up...


Montenegro Recorded Progress On Forbes List Montenegro improved its position on this year’s Forbes list of the best countries for doing business from 59th place to 53rd. By categories, best result Montenegro has achieved in the field of investors protection making it 27th on the list of 134 countries. Such an improvement come as a result of intensive work on improving business environment, investment promotion and national treatment of foreign investors. Source: Montenegrin Investment Promotion Agency (MIPA)

Investment-Development Fund Approved 10 New Projects The Board of Directors of the Investment-Development Fund of Montenegro reached a decision on financing 10 projects in the total amount of EUR 255.695. The participation of the Fund in the financing of the mentioned number of projects amounts to EUR 237.695, while commercial banks will set aside EUR 18.000. Out of these projects, eight will be realized within MIDAS project and the Investment-Development Fund will set aside EUR 155.695 for them. Five of these projects will be realized in the underdeveloped northern part of Montenegro. Source:

Contract With The World Bank Signed

Minister of Finance of Montenegro and Director of the World Bank for South-East Europe signed a contract on a loan of USD 85 million in Washington. The main conditions for the approval of the arrangement were reaching a satisfactory level of macroeconomic stability and stabilization in the field of financial, i.e. banking system in Montenegro. Signing of the contract on the loan represents a confirmation of successful implementation of a series of reforms that will make the Montenegrin fiscal and financial system more resilient and stable for the upcoming challenges, as well as a confirmation of good cooperation between Montenegro and the World Bank. Source:

Montenegro Is Still A Competitive Destination For Investments Montenegro remains a competitive investment destination as assessed at X International Investment Forum held in September 2011 in Sochi, Russia. At the conference it was stressed that the presence of Montenegro in the forum was important because of the importance of Russia as an investment partner. In direct communication with potential investors, and the round tables that have gathered various categories of exhibitors, the current activities, especially improvements in legislation, as well as activities on the realization of investment projects in transport, utilities and the biggest Montenegrin Greenfield projects were presented. The Montenegrin delegation was headed by the Minister of Tourism and Sustainable Development Mr. Predrag Sekulić. Source: