In 2024, the European Bank for Reconstruction and Development (EBRD) made significant investments in Montenegro, totaling € 104 million across nine major projects aimed at boosting the country’s economic and sustainable growth.

The EBRD reported, “We have mobilized over 908 million euros for 95 projects throughout Montenegro.”

Of the €104 million invested last year, an impressive €92 million, or 89 percent, was dedicated to green initiatives aimed at enhancing energy efficiency, supporting renewable energy sources, and facilitating decarbonization efforts.

The bank noted that seven out of the nine projects focused on promoting gender inclusion.

The EBRD underscores that these investments reflect its commitment to aiding Montenegro’s transition to a more sustainable, resilient, and inclusive economy.

EBRD director for Montenegro, Remon Zakaria, stated, “I am pleased to contribute to the country’s green transition, modernized infrastructure, and increased access to financing for businesses and individuals, demonstrating our commitment to sustainable economic development. These achievements highlight the strong partnerships we have forged with local stakeholders, donors, and the private sector. I look forward to 2025 with optimism, confident in our ability to build on this progress, achieve even greater outcomes, and help Montenegro realize its full potential.”

In 2024, the EBRD supported Montenegro’s economic and sustainable development through several important initiatives.

Notable projects include two energy efficiency initiatives in public buildings, collectively valued at €32 million, established with the Ministry of Education, Science and Innovation and the Ministry of Health. These projects aim to renovate 24 schools and three hospitals.

Additionally, a loan of €28 million was allocated for enhancing the Brezna substation, facilitating the integration of over 400 MW of new renewable energy capacities. A €30 million loan provided to Montenegro’s rail transport sector aims to procure three new trains to replace outdated equipment, reaffirming our commitment to upgrading the nation’s infrastructure and enhancing the quality, comfort, and reliability of transport services. By signing four credit lines worth a total of €12 million with three partner banks (NLB, mortgage banks, and Alter Mode), we are targeting green investments along with gender and economic inclusion, as noted by the EBRD.

The EBRD reported that through its consulting program for small and medium enterprises, it supported 29 enterprises in enhancing their competitiveness and business practices via tailored advisory solutions, marking a significant achievement in 2024.

Furthermore, the Secretariat of the Competitiveness Council, backed by the EBRD, continued to promote public-private dialogue to enhance the business landscape.

“In 2024, our policy-making activities achieved significant landmarks in advancing renewable energy sources and energy security. The adoption of the Renewable Energy Sources Law in August, supported technically by the EBRD, was a pivotal step toward establishing a favorable climate for renewable energy. These endeavors were reinforced by the implementation of the second phase of a technical cooperation (TC) project, which aims to assist Montenegro in the introduction of international auctions for renewable energy sources,” the bank reported.

The EBRD added that an agreement was signed with the EU for a reform fund of €2.5 million to bolster Montenegro’s advancement in energy security, investment climate, and corporate governance of state-owned enterprises.

During 2024, robust collaboration with international financial institutions (IFIs) and international donors was crucial, as joint initiatives instigated significant reforms, fostered innovations, and improved key projects in the energy and investment sectors.

The EBRD announced its investment of €1.6 billion in the Western Balkans, with an additional record of €500 million mobilized from other investors across 116 projects. Notably, 62 percent of total investments were allocated to green initiatives, and 50 percent of all projects incorporated gender inclusion.

“In 2024, the EBRD achieved record investments of €16.6 billion in its economies, marking a 26% increase from the previous year,” the bank disclosed.

They also reminded that in 2024, the EBRD welcomed its first two shareholders from Sub-Saharan Africa, Benin and Ivory Coast, with plans to commence operations in the region later this year.

The EBRD further highlighted the recent presidential election session, where the governors re-elected Odil Reno-Baso for a second term as President during the annual meeting and business forum held in Yerevan, Armenia.