The Minister of Finance, Novica Vuković, announced that compared to the plan for the period January-June of the current year, budget revenues have exceeded expectations by 75.4 million euros. He mentioned a preliminary expectation of achieving a balanced budget or slight surplus in June. Excluding one-off revenues of 14 million euros in 2024, they have seen an increase of 194 million euros in overall revenues.
Vuković highlighted that the treasury’s main account holds 600 million euros, with obligations already serviced at over 350 million euros. This indicates that debts and the capital budget are largely financed from current inflows, rather than borrowing intended for debt servicing and infrastructure projects.
The fiscal strategy aims to enhance citizens’ living standards through creating a conducive business and investment environment, ensuring macroeconomic and fiscal stability, combating the shadow economy, and establishing a financial police. He mentioned plans for a third VAT rate and addressing tax debt regularly.
Budget revenues from 2024 to 2027 are projected to range from 2.759 billion euros (37.9% of GDP) to 3.081 billion euros (31% of GDP). With evident revenue growth, stability in public finances is emphasized. Borrowing is planned for project implementation, with the government providing summaries of fiscal strategy implementation alongside budget closing statements annually.
Vuković announced that Montenegro will have access to nearly 400 million euros through the growth plan. The investment cycle begins with the 2024-2027 strategy, including the Andrijevica-Mateševo segment costing 200 million euros, already funded. The economy is expected to grow by an average of 3.7% annually.
Other officials also reiterated commitments: Minister Naida Nišić affirmed that the Pension and Disability Insurance Fund (Fond PIO) will remain unchanged, ensuring regular pension payments. She highlighted increases in pensions for those with 40 years of service and plans for zero inflation, with adjustments if inflation exceeds expectations.
Branko Krvavac from the Prime Minister’s Cabinet emphasized fulfilling promises, including increasing pensions and wages fourfold, with positive impacts from previous reforms and upcoming initiatives. He reassured that these reforms benefit both employees and retirees, with mechanisms for feedback and adjustment.
Krvavac clarified that previous reforms did not impact inflation rates, according to EUROSTAT data, attributing inflation to external factors.
