According to local media Monitor analysis, Montenegro’s Privatisation and Capital Projects Council is facing growing scrutiny after withholding a key consultant report on the future of Hotelska grupa Budvanska rivijera, one of the country’s most valuable state-owned tourism assets.
The report—prepared by international consultancy Horwath HTL in cooperation with entities linked to MK Group, a significant minority shareholder—was delivered to the government after a delay of roughly six months, and formally reviewed at a Council session on 10 March 2026 chaired by Prime Minister Milojko Spajić.
Despite its strategic importance, the document has not been made available to the public, state institutions outside the Council, or even employees of the company. According to the same analysis, the consultant reportedly imposed strict confidentiality conditions, including restrictions on publication and copying, which were accepted by the Council.
The report is understood to assess restructuring scenarios tied to a proposal submitted by MK Group, which holds approximately 33% ownership in Budvanska rivijera. The analysis reportedly evaluates two restructuring models, including options that go beyond operational optimisation and extend into asset-level transformation.
Among the most sensitive elements referenced in the coverage is the potential redevelopment of Slovenska plaža, one of the largest tourism complexes on the Montenegrin coast. Scenarios under consideration include demolition and conversion toward real estate-oriented development, a shift that would materially alter both the asset profile and revenue model of the company.
The decision to keep the report confidential has triggered questions around governance and process integrity. The document was commissioned by the government and financed through public resources, yet remains inaccessible in a process that directly concerns state-owned assets and long-term tourism strategy.
The institutional responsibility is not limited to the consultant. By accepting confidentiality conditions, the Privatisation Council has effectively restricted visibility into a document that is expected to shape decisions on ownership structure, asset redevelopment, and capital allocation within Montenegro’s flagship coastal tourism portfolio.
The broader context underscores the scale of the decision under review. Budvanska rivijera represents a core component of Montenegro’s tourism infrastructure, with its future tied to questions of modernisation, capital injection, and competitive positioning in a market increasingly defined by large-scale resort redevelopment and mixed-use real estate integration.
At the same time, official communication from the Council indicates that no final decision has been taken, with further technical analyses and consultations with local authorities and stakeholdersexpected before determining the restructuring pathway.
The combination of high-value state assets, private shareholder proposals, and restricted access to the underlying analysis places the process at the centre of a wider debate over how Montenegro manages privatisation, strategic tourism assets, and investor participation under limited public oversight.
