Montenegro’s entry into the Single Euro Payments Area (SEPA) and the establishment of a national instant payment system—a TIPS clone being developed with the support of the World Bank (WB)—will significantly enhance the modernization of the payment system and electronic payments in the nation.

According to representatives from the Central Bank (CBCG) and the World Bank, “SEPA membership enables users in Montenegro to conduct transactions under the same conditions as users in other SEPA countries, while the TIPS clone system will facilitate faster, safer, and more efficient real-time payments.”

These initiatives are designed to create additional opportunities for digital service growth, promote wider adoption of electronic payments, and strengthen the competitiveness of Montenegro’s financial sector, as announced by the Central Bank of Montenegro.

Today, a meeting was convened with representatives from the World Bank at the Central Bank of Montenegro to officially initiate a two-day mission focused on a thorough evaluation of the current state of electronic payments in Montenegro, particularly regarding service acceptance and usage.

During the mission, the WB team will engage in discussions with representatives from the Central Bank of Montenegro, the Ministry of Finance, the Chamber of Commerce, the Central Registry of Business Entities (CRPS), payment institutions, and commercial banks.

“Discussions will concentrate on conducting an Electronic Payment Acceptance Assessment (EPA), which will involve an in-depth analysis of the current landscape and identification of essential steps to enhance the acceptance and utilization of electronic payments in the country,” the statement elaborated.

At the introductory meeting, representatives from the Central Bank of Montenegro, including Vice Governor Zorica Kalezić, exchanged insights with World Bank representatives regarding key trends and challenges in the realm of digital payments, emphasizing aspects such as availability, efficiency, and security.

The significance of digital transformation in the payment system was underscored as a crucial element for boosting the competitiveness of Montenegro’s economy and expediting its growth.

Upon analyzing the collected data, the WB will formulate recommendations aimed at enhancing electronic payments in Montenegro.

The EPA mission is part of the Western Balkans Payment Systems Modernization project, which the WB has been executing in six regional countries since 2022, in partnership with the Regional Cooperation Council and the CEFTA Secretariat, and with backing from the European Commission (EC).

This initiative encompasses other strategic activities that will aid in the modernization of the financial sector within the Western Balkans.

Key priorities include establishing a regional Know Your Client (KYC) registry, standardizing the licensing framework for non-bank payment service providers, developing financial education strategies, and bolstering cybersecurity capabilities.

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