In 2004, Montenegro adopted the Law on Free Zones, which offers businesses benefits and exemptions from custom duties, taxes, and other duties in specified free trade zones. The Port of Bar is currently the only free trade zone in Montenegro. All free zone users have many benefits provided by the law and other regulations (import...
In 2002 Montenegro enacted the Law on Secured Transactions and established a collateral registry at the Commercial Court in 2003. The registry’s operational guidelines have been drafted and approved by the Commercial Court. The main goal of the Law on Secured Transactions is to establish a clear and transparent framework for property transactions. In 2004,...
The acquisition and disposition of IPR are protected by the Law on the Enforcement of Intellectual Property Rights, which entered into force in 2006. The law provides for fines for legal entities of up to EUR 30,000 (approximately USD 37,000) for selling pirated and/or counterfeited goods. It also provides ex-officio authority for market inspectors in...
The banking sector in Montenegro is fully privatized with 11 privately owned banks operating in the country. The banking sector operates under market terms. Foreign investors can get credit on the local market, and they have access to a variety of credit instruments since the majority of the banks in Montenegro belong to international banking...
According to Central Bank of Montenegro, the banking sector remained solvent and liquid. Total bank assets amounted to EUR 5.33 billion at the end of 2021, an increase of EUR 741.6 million or 16.2 percent over the previous year. Loans make up the dominate share of bank balance sheets, amounting to EUR 3.36 billion at...
During 2022, a constant increase in prices was observed. During the first eleven months of 2022, the average inflation rate was 12.7%. However, in November the inflation rate was at the level of 17.5%, which is the highest annual price growth rate compared to the previous months. The biggest increase in prices was recorded for...
In 2022, the economy of Montenegro records a relatively high rate of real GDP growth. In the first three quarters, real GDP was higher by 7.1% compared to the same period last year. In the first quarter, real growth of 7.1% was recorded, while in the second, real GDP growth rate was at the level...
Budget revenues in the first three quarters were higher by 8.5% compared to the same period of the previous year, or 5.0% more compared to the plan. The increase in budget revenues was mostly influenced by the increase in VAT, which was 23.8% higher than the planned amount. The growth of prices, but also the...
Franchising The business climate is hospitable for the franchising business model in Montenegro. Various reports assess Montenegro as a growing market in the field of European tourism and property investment. The number of foreigners living in Montenegro and the number of tourists visiting Montenegro is increasing every year, and this provides another target market for...
Distribution & Sales Channels The Foreign Trade Law adopted in 2004 decreases barriers for doing business and executing foreign trade transactions in accordance with WTO agreements. However, the law includes some restrictive measures, such as quotas, and discretionary government intervention. Customs and tax enforcement has helped reduce illegal imports and unlicensed business activities. The retail...
