The implementation of the Agreement with the United Arab Emirates (UAE) would result in the Government assuming Parliamentary powers, allowing it to transfer state property to investors for leases exceeding 30 years without MPs’ approval.

This insight was shared with “Vijesti” by the director of the Network for the Affirmation of the Non-Governmental Sector (MANS), Vanja Ćalović Marković, who indicated that this action undermines another control mechanism and paves the way for potential corruption.

Conversely, the executive branch asserts that parliamentarians will have the ultimate say regarding any investments from the UAE, claiming this provides the necessary oversight in such cases.

According to Article 3 of the Agreement on Cooperation in Tourism and Real Estate Development, the Government is charged with “taking all necessary measures to secure land required for project implementation (development area), by the entities, when permitted by relevant Montenegrin laws—without the requirement to conduct public procurement, tender processes, or other procedures dictated by national legislation governing state property.”

MANS estimates that this could empower the executive branch to sidestep Parliamentary protocols mandated by the Law on State Property, which stipulates MPs must approve leases of state land longer than three decades.

Ćalović Marković cautions that, as outlined in the Constitution, any agreement approved by MPs with the UAE will supersede domestic regulations.

“We urge Parliament to reject the Agreement with the Emirates and compel the Government to align this document with Montenegrin laws. Passing such an agreement would provide the executive branch with significant discretionary authority over state property. Consequently, basic Parliamentary oversight would be dismantled, creating ample opportunities for corruption,” stated Ćalović Marković.

On March 28, Prime Minister Milojko Spajic signed agreements concerning economic cooperation and tourism and real estate development with the UAE, which he subsequently forwarded to Parliament as a bill. Prior to this, he presented the intentions of billionaire Mohamed Alabara to local leaders in Ulcinj, who allegedly plans to invest 35 billion euros in a tourist complex and lease the entire Ulcinj Velika Plaza for 99 years. Some public and non-governmental sectors argue that these agreements conflict with state interests in various areas and jeopardize Montenegro’s EU accession process.

CONCLUSION POWERLESS BEFORE AN INTERNATIONAL AGREEMENT

The head of the parliamentary group for the ruling Europe Now Movement (PES), Vasilije Carapić, asserts that the Agreement on Cooperation in Tourism and Real Estate between Montenegro and the UAE will be ratified by Parliament, along with all contracts stemming from Article 3 of the agreement, which he claims is a legal and constitutional requirement.

He states that this process is inevitable and was reaffirmed by the Government’s conclusion on March 28.

“The General Secretariat of the Government is tasked with submitting all contracts resulting from the Agreement with the UAE concerning state property management to Parliament for ratification. Any contract made by the Government only becomes effective once it receives confirmation from Parliament, meaning that MPs will have the final say on every investment,” claims Čarapić.

He notes that PES will only endorse development projects compliant with domestic laws, environmental standards, and backed by local community consent.

“We are confident that the Government will uphold these standards moving forward, as emphasized multiple times by Prime Minister Spajić,” added the PES MP.

However, Vanja Ćalović Marković warns that by adopting the conclusion, the Government may be obscuring the actual ramifications of the agreement and misleading both the public and Parliament.

“Once adopted, the Agreement will hold greater legal authority than this conclusion,” she points out.

If the Agreement is ratified by Parliament as an international treaty, it will, in accordance with the Constitution, take precedence over domestic laws, thus rendering the Government’s conclusion legally ineffective, she explains.

“The Agreement essentially strips Parliament’s authority to decide on state property matters and grants the Government unchecked authority to finalize contracts with the UAE, including transferring state property without further Parliamentary oversight,” she warned.

GOVERNMENT: POWER IN THE HANDS OF THE ASSEMBLY

The Government informed “Vijesti” that “all actions regarding the Agreement with the UAE” were conducted in alignment with Montenegrin laws and are fully synchronized with EU regulations.

While the matter did not pertain to public procurement specifically but rather land leasing and Parliamentary roles, the Government noted that the Law on Public Procurement (Article 13, paragraph 1, item 2) indicates this regulation does not apply “to the acquisition of goods, services, or works following procedures established by different legal instruments creating international legal obligations, such as agreements between Montenegro and EU Member States or other nations for joint implementations.”

They contend that such procurements represent an exception to the Public Procurement Law and confidently reiterate that the Agreement adheres to “the national regulatory framework governing public procurement policy.”

“Additionally, the relevant provision of the Public Procurement Law is derived from Public Procurement Directive No. 2014/24/EU. The Government is required, pursuant to Article 13, paragraph 5 of the Law, to notify the European Commission if the implementation of the Agreement necessitates procurements,” they assert.

While “Vijesti” did not address land sales, the Government stated that Montenegro, as reiterated by the Prime Minister, “will not enter into an agreement with an investor that involves the sale of state property or, in this instance, land.”

“To clarify—there will be no sale of state land. The Government’s proposed model for this deal is a joint investment with the investor, where the state acts as a co-investor, ensuring the land remains in state ownership. The specific investment implementation model will be detailed in a separate contract between the Government and the investor, which will subsequently be submitted to Parliament for approval,” the executive branch affirms.

They firmly believe this alleviates any potential uncertainties regarding the investment.

“Ultimately, Parliament will have the final say, confirming that the MPs retain authority, thus ensuring a control mechanism is in place for the said contract, regardless of the investment participation model adopted by the Government,” the Government stated.

MANS: Seizure of Property Without Procedures and Judicial Protection

MANS recently declared that the Agreement with the UAE permits the expropriation of property from Montenegrin citizens for executing selected projects, circumventing legally mandated procedures and omitting judicial recourse.

“The agreement designates selected projects as public interests, activating the constitutional provision on property rights limitation,” they cautioned.

Article 1 of the Agreement explicitly states that such projects are “strategic and represent public interest initiatives.”

Furthermore, Article 3 asserts that the Montenegrin Government will categorize these projects as investments “of vital importance for the national economy and of strategic and public interest for Montenegro.”

“Montenegro’s Constitution, Article 58, paragraph 2, expressly states that no one shall be deprived of or restricted in their right to property unless mandated by public interest with adequate compensation. Moreover, Article 10, paragraph 2 of the Law on Property and Legal Relations stipulates that public interest must be determined by law. Furthermore, Article 24, paragraph 1 of the Constitution clearly indicates that guaranteed human rights and freedoms may only be restricted by law, to the degree necessary for achieving the purpose of such a restriction in a free and open democratic society,” MANS noted.

No Clarification on Long-Term Land Leases or Sales

The agreement between the governments of Montenegro and the UAE regarding tourism and real estate development lacks clarity on whether the executive branch will provide land for long-term lease or for sale.

This point was highlighted in the opinion of the Agency for the Prevention of Corruption (ASK) concerning the Draft Law on the ratification of the agreement between Montenegro and the UAE.

During its investigation, the Agency noted that a particularly contentious aspect of the Agreement is the Government’s obligation to secure land necessary for project implementation, excluding public procurement, tenders, or procedures established by national legislation on state property.

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