Preliminary data from Montenegro’s Statistical Office (Monstat) show a growing trade deficit. In 2024, exports totaled 615 million euros, down 8.8% from 2023, while imports amounted to 4.07 billion euros, an increase of 6.8%. As a result, the import coverage by exports fell to 15.1% from 17.7% in 2023.
The main reasons for this increase in the trade deficit are the decline in electricity exports, caused by lower international electricity prices and unfavorable hydrological conditions, as well as a significant drop in aluminum exports.
In terms of imports, Montenegro spent 89.3 million euros on electricity imports (up 52.8% from 2023) and 772.45 million euros on food imports (up 3.7%).
Economist Mirza Krnić pointed out that these trends are not surprising and reflect the government’s failure to develop the economy. He emphasized that the government benefits from higher prices and increased VAT collection, which is ultimately passed on to consumers. He also criticized the government’s focus on borrowing and high consumption without improving domestic production.
Krnić concluded that Montenegro needs a shift in economic policy and greater focus on boosting domestic production to reduce imports, increase exports, and improve the economy.
