The governments of Montenegro and the United Arab Emirates have entered into agreements on economic collaboration and joint ventures today.

The agreements were endorsed by Montenegrin Prime Minister Milojko Spajić and the UAE’s Vice Premier and Minister of Foreign Affairs, Sheikh Abdullah Bin Zayed Al Nahyan, with the presence of Sheikh Muhammed Bin Jaga Al Nahjan.

The government announced that the goal of the agreement is to promote cooperation based on equality and mutual benefits, in full compliance with the laws of both nations.

The collaboration, as stated, will encompass various sectors, particularly focusing on strategic projects that serve public interest and will “generate economic benefits for the citizens of both nations.”

Spajić remarked that Montenegro seeks credible companies with decades of successful large projects, for which leading nations around the world are willing to offer guarantees.

“The Agreement on Economic Cooperation was designed to broaden the scope of partnership, leading to initiatives in tourism and the creation of new jobs, ensuring equitable benefits across both the south and north of Montenegro. For the first time in history, we are prioritizing balanced development across all regions of our country,” Spajić stated after the signing.

He highlighted that this is a significant opportunity for Montenegro’s accelerated economic growth and a leap toward “higher salaries, pensions, and other benefits” for all citizens.

Majda Adzović, Secretary of State in the Ministry of Spatial Planning, noted in an interview with TV news that the agreement focused on the leasing of the Great Beach, contingent upon an agreement with the local community, as other municipalities are also looking to invest in projects.

The daily “News” reported yesterday that the government plans to facilitate the construction of a new city on a large beach through a special law designed to take precedence over existing domestic laws and regulations.

This specialized LEX would provide the investor from the UAE with various incentives, such as exemptions from certain taxes and duties during construction, while Montenegro and its public enterprises would participate in covering part of the infrastructure costs.

Additionally, it would allow for the development of ten million square meters from Port Milena to Bojana, extending from the coast to the Projana road, alongside the corresponding maritime area. The project will be undertaken by Emaar, a company owned by Mohammed Al Abbar from the UAE. According to this agreement, Al Abbar would have the opportunity to transfer leasing rights within the designated area to other businesses.

Al Abbar’s company, Igl Hills, has submitted a bid for leasing beaches in Ulcinj. They are competing for nine of the 19 beach sections on the Great Beach in Ulcinj, with a total bid of approximately 1.8 million euros. This has led to protests from previous beach tenants in Ulcinj, who are seeking to annul the tender and amend the Lease Agreement established in 2019.

Al Abbar has stated that the beaches will be returned to previous tenants at the same cost they had been paying prior.