The European Commission (EC) has evaluated that Montenegro has satisfied the requirements for closing Chapter 5 (public procurement) in its negotiations with the European Union (EU). It emphasized the importance of ensuring that the implementation of the Agreement with the United Arab Emirates (UAE) aligns with EU regulations in this sector.

During its latest session, the Parliament of Montenegro approved the Draft Law that ratifies the agreement on cooperation in tourism and real estate development with the UAE.

Out of the 52 MPs present, 41 voted in favor, 7 opposed, and 4 abstained.

The EC’s Draft Common Position for Chapter 5 notes that Montenegro has made considerable progress across all aspects of public procurement, having adopted laws that comply with EU standards and enhanced its administrative and implementation capabilities.

“Since 2021, Montenegro has made notable advancements, including strengthening its institutional setup, implementing an e-procurement system, and achieving significant strides toward a fair and transparent procurement landscape that ensures value for money, competitive practices, and robust anti-corruption measures. While the anti-corruption system in public procurement needs further enhancement, a clear strategy exists for addressing remaining gaps, with plans for implementation by early 2026,” the EC asserted in the Draft Common Position currently under consideration by EU Council bodies, prior to a decision on closing this chapter by member states.

Chapter 5 is likely to be finalized at the upcoming Intergovernmental Conference between Montenegro and the EU this month.

The document, to which “Vijesti” has obtained access, outlines additional progress by Montenegro in revising its anti-corruption framework, addressing issues related to conflict of interest and fraud in public procurement, but underscores that further efforts are necessary to tackle these challenges.

“Particularly, as the existing definitions of corruption and fraud do not adequately meet the needs of public procurement, Montenegro aims to refine these definitions in the coming months. Following amendments to the Law on the Prevention of Corruption in 2024 and the National Anti-Corruption Strategy that reinforce overall mechanisms, policies, and action plans to combat corruption, Montenegro officially committed in its negotiation annex to amend the Law on Public Procurement and the Law on the Prevention of Corruption by the first quarter of 2026. The goal is to bolster corrective measures, introduce direct misdemeanor liability, improve budgetary oversight of inspection bodies, and clearly define corrupt actions related to public procurement, while integrating relevant provisions from the two principal legal frameworks,” the Draft Common Position reads.

Additionally, Montenegro has pledged to implement a “red flag” (early warning system) within the e-procurement framework to identify irregularities such as fraud, collusion, coercion, obstruction, conflicts of interest, and other corrupt practices by the second quarter of 2026.

“The European Commission will closely oversee the adherence to these commitments,” the document states.

It also points out that the Agreement on Cooperation in Tourism and Real Estate Development, established on March 28, 2025, between Montenegro and the UAE, stipulates that all contracts, programs, and subsequent agreements involving UAE investors are exempt from the public procurement laws of both nations.

“It is essential for Montenegro to guarantee that the execution of this Agreement aligns with EU regulations concerning public procurement. The interpretation, application, and enforcement of the Agreement must be managed with care. The EU stands ready to assist Montenegro in this area,” the document further outlines.

The EU has urged Montenegro to enhance its database for transparently sharing information regarding decisions related to concessions, public-private partnership contracts, and procurement contracts in the sectors of defense and security.

Earlier today, Minister of European Affairs Maida Gorčević announced that the EC has confirmed Montenegro’s compliance with the criteria for closing Chapter Five – Public Procurement.

She remarked on the X platform that she believes this resolution has alleviated all concerns regarding international agreements that specifically pertain to public procurement.

“Visible progress is underway, and our reform trajectory is strong. We are advancing towards closing the chapter, aiming for Montenegro’s EU membership by 2028,” said Gorčević.

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