The government approved a €30 million loan from the Council of Europe Development Bank to the Development Bank of Montenegro under the programme “Support to MSMEs in Montenegro – 2.”
The total programme is valued at approximately €43 million, with the Council of Europe Development Bank financing up to 70% of eligible costs. The funds are intended for investment projects and working capital, including equipment purchases, construction, expansion and business modernisation.
The facility can partially offset the limited availability of long-term financing for smaller Montenegrin companies. Its effectiveness will depend on final interest rates, maturities, collateral requirements, sector eligibility and the speed with which funds are transferred to borrowers.
The strongest potential demand is likely to come from tourism suppliers, food processing, logistics, energy-efficiency services, light manufacturing and companies preparing for EU technical and environmental requirements. The programme will carry greater economic value where it finances productive equipment and export capacity rather than short-term liquidity alone.
