The World Bank’s latest regular economic report indicates that inflation in Montenegro has exceeded expectations.
The report emphasizes that fiscal discipline and progress in reforms are crucial for the country’s economic growth. Although Montenegro has recorded slight growth compared to last year, its real GDP growth has sharply declined compared to 2023, following a strong post-pandemic recovery.
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Inflation in 2025 was higher than anticipated, and the country is facing significant debt repayments. The World Bank notes that Montenegro, as a small, open, and euroized economy, remains highly vulnerable to external shocks, with heavy reliance on tourism further increasing this vulnerability.
