Montenegro’s effort to align its business environment with European Union rules is shifting towards the institutions that register companies, supervise financial markets and oversee public contracts, according to a report on its 23 March 2026 meeting with the European Commission.
For investors, the issues identified concern how reliably administrative systems operate and whether regulators have the staff and independence to enforce legislation. The report records progress in adopting laws but also identifies unfinished implementation work across company registration, financial services, payments and procurement.
Montenegro’s new Law on Business Entities and Law on Registration of Business and Other Entities entered into force in January 2026. The subsequent agenda includes clarifying preventive legality checks in electronic registration following the transfer of responsibility from notaries to the registration authority within the Tax Administration.
The Commission also highlighted the need for a functioning business-registration module within the Integrated Revenue Management System. The Central Register of Business Entities requires additional qualified lawyers, with its administrative capacity described as insufficient.
These findings put the practical operation of company formation at the centre of the reform effort. Electronic registration depends on both functioning technology and officials able to assess applications. The report does not quantify processing delays or costs for businesses.
Financial supervision presents a separate institutional challenge. The Commission called for appointments to the Central Bank Council and other regulatory bodies without delay, while emphasising that administrative capacity and supervisory independence form part of the remaining accession requirements.
Its message extended beyond staffing. The report records the Commission’s opposition to government or parliamentary action that would undermine the independence of financial supervisors.
Montenegro was expected to prepare an action plan addressing institutional resilience, independence and staffing, guided by a 2026 TAIEX expert assessment. For banks and other financial businesses, the relevant issue is the consistency of supervision and the ability of regulators to exercise their statutory powers.
Payment-market alignment also remains an operational task. The Central Bank of Montenegro reported continuing work on SEPA and instant-payment requirements, while identifying payment verification as an outstanding issue because the relevant framework applies to payment-service providers established in the European Economic Area.
The report does not establish when a verification service would become available in Montenegro. It shows that payment integration involves further regulatory work beyond participation in European payment arrangements.
Public procurement completes the institutional picture. The Commission acknowledged progress since the procurement chapter’s provisional closure but called for improvements to the anti-corruption framework, electronic procurement and interoperability between public bodies.
Planned measures included a corruption-reporting mechanism within the electronic procurement system, particularly warning signals for potentially problematic transactions. The March report recorded an expectation for this work in the second quarter of 2026, alongside training, practical guidance and professionalisation of contracting authorities.
That timetable is a commitment recorded at the meeting, rather than evidence that the mechanism was subsequently delivered.
The common test across these reforms is whether new rules produce dependable procedures. A functioning registry, independent supervisor or procurement warning system requires more than legislation: it needs qualified staff, clear responsibilities and systems that exchange information.
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