Kristina Radović/Antonija Janevska
"My main motivation for going to study abroad was the desire for change, in the sense that I wanted to experience living somewhere abroad in my twenties," says one of the Montenegrin students currently studying in Slovenia.
The emigration of young people is not just a problem for a society in Montenegro, but also elsewhere in the region. There are many students from other Balkan countries with a similar story.
Kristijan is from North Macedonia and he is studying mechanical engineering in Ljubljana. His decision to study abroad was based on the fact that the mechanical engineering university in Ljubljana is among the best in the field in Eastern Europe, but also the most cost-efficient one.
He lives with a few roommates because he cannot get a place in student dormitories. “A typical day for me starts with going to classes,” Kristijan explains. “In between, we usually have two breaks. Afterward, we have auditory exercises or laboratory exercises. The auditory ones are really similar to the classes we attend, but they focus on tasks and math and physics problems. The laboratory exercises are different depending on the subject, but we are always divided into smaller groups of people, usually four to eight. This is when we work on projects, receive grades, and gain practical knowledge of the theoretical concepts we've studied. At the end of the day, I revise in the library and participate in sports programs offered by the university.”
Most of the young Balkan citizens decide to leave their countries due to poor social, living, and economic standards and conditions. In Montenegro, one fifth of the youth expressed desire to leave, shows the 2024 Youth Study from Southeast Europe by the "Friedrich Ebert" Foundation.
"Young people are continuously leaving Montenegro. The causes of such phenomena should be sought in the unstable economic and political environment, which provides fertile ground for the continuation of non-European practices, such as party-based and nepotistic employment, corruption, lawlessness, captured media, and insufficient support for youth, or merely declarative support that does not reflect the genuine attitude of decision-makers," says David Vukićević, president of the Network for Youth Activism of Montenegro (MOACG).
For young people from the Western Balkans, the United States (US) are one of the most desirable destinations to move to. But many of their visa applications are being rejected. In 2024, more than third of the American visa applications in Kosovo, Montenegro and Albania were unsuccessful. In Macedonia, the rejection rate was 28 percent.
Some decide to stay in Europe like
Josif is a 21-year-old Macedonian studying Computer Science at the University of Bristol. His typical day consists of attending classes and consultations with professors about grades and innovative projects. The classes are taught through presentations and practical work, and his study materials are in electronic form or can be found in the library.
“Even though I enjoy being here, I feel a deeper connection to my home country and the people there. Even here, I hang out with Macedonians,” says Josif. He got the opportunity to study abroad due to a scholarship offered by the Ministry of Education.
The scholarship requires the student to be accepted at one of the top 100 ranked universities on the Shanghai List, the Academic Ranking of World Universities evaluated by the number of scientific papers published in international journals and the number of Nobel Prize winners. Although none of the North Macedonia’s universities have been included in the Shanghai List in the past few years, the country’s Ministry provides the scholarships for those on the Shanghai List that covers most of the students’ expenses. After graduating, a student must return and work in their home country for a few years.
Josif says the only reason he would return to North Macedonia is because of his family and friends; career-wise, he says that the opportunities abroad are much more appealing. Since he will return to North Macedonia after learning everything he can at the University of Bristol, he hopes that the knowledge and experience he gains in the UK will be awarded with a sufficient salary at home.
In the past decade, an increasing number of Macedonian students have sought educational opportunities beyond the country’s borders. Faced with challenges in meeting their academic aspirations, many are drawn to institutions abroad, where they anticipate more advanced curricula, cutting-edge facilities, and greater professional prospects. This trend, however, reflects deeper, systemic issues within North Macedonia’s higher education system, and as the number of students leaving continues to rise, it raises profound questions about the capacity of the country’s academic institutions to retain young talent and foster an environment conducive to innovation and progress.
According to a Westminster Foundation for Democracy study, North Macedonia invests between 116 and 433 million euros annually in educating and training young people who then leave the country. In the past 30 years, there has been a 10% reduction in the nation’s population as a result ofbecause of the significant emigration of highly skilled students. And it seems unlikely that this number will stop growing.
No jobs for young people
Although there is no official statistic on how many Montenegrins live abroad, data from the Society of Statisticians and Demographers show that on the census date in 2023, around a third of Montenegrin citizens, or 213,478 people, were living abroad.
"Although data was collected for 44,017 people in the census, this accounts for only 20 percent of the estimated diaspora, while 80 percent, or 169,461 people, were not included because at the time of the census, they did not have a household member present in Montenegro who could
provide information on their behalf," says Gordana Radojević from the DSDCG.
The population census currently represents the only source of data on young people studying abroad. According to the latest census, 8,230 citizens of Montenegro reside abroad for educational purposes, of which 43 percent, or 3,607 people, are studying in Serbia.
David Vukićević from MOACG thinks that the data clearly indicates that Montenegro lacks an adequate pro-natalist policy, but also that “young people continue to seek their happiness beyond the borders of their homeland. "
The conditions and quality of upbringing and life, success during the educational process and the prerequisites for achieving it, opportunities for improvement, employment, advancement, and economic independence are key determinants that shape the attitudes of young people, explains Vukićević.
"Entering the labor market is somewhat easier for young people due to the deficit of the appropriate workforce and the rise in minimum net wages. However, as a consequence of the daily increase in prices, this effect is fading, although still present,, since adequate job performance needs to be provided in line with current wages, for which the educational process has not prepared those who are just entering the labor market. I acknowledge the continuous efforts of the Ministry of Education, Science, and Innovation and the Ministry of Sports and Youth in improving the position of young people, but without adequate support from the Ministry of Finance and the Government of Montenegro, it is difficult to achieve tangible results," he says.
However, Ddata from the World Bank shows that in the last decade alone, more than 2.5 million people have left the Western Balkans in search of better living conditions in Western Europe, indicating that this is a regional trend rather than an issue present in just one country.
IT and engineering studies amongst the most desired
One of the key issues of migration in the region is the departure of highly educated young people, experts in fields such as IT, engineering, medicine, and other crucial sectors commonly known as STEM (science, technology, engineering and medicine).
While North Macedonia has a deep cultural history that is reflected in its art, music, and literature, the arts programs in the country are struggling to offer students appealing opportunities, and students eager to pursue a career in such a field have gone looking for their education abroad. While the STEM programs are often viewed as more profitable and more important, the arts and studying such a program are often seen as a luxury rather than a necessity.
She says that the nature of the job she is studying for often requires international cooperation and experience, and in the USA, there are many more options for networking, film festivals, productions, publications, and opportunities. However, she wants to do the same at home.
“I have always wanted to contribute in one way or another to the development of Macedonian culture and art and its promotion around the world,” she explains. “I would still like to be active in North Macedonia and the Balkans through certain engagements in the field of film and photography.”
Digitalized universities
The students studying abroad and interviewed for this article shared different experiences compared to students getting degrees in North Macedonia, where necessities such as digital books are still a foreign concept at the universities.
In 2023 a study by the Forum for Educational Change and European Endowment for Democracy found that the digitalization in the public universities is severely underdeveloped.
„Despite the increasing use of technology in education worldwide, many public universities in North Macedonia still rely on traditional teaching and learning methods. This includes the use of physical textbooks and lectures, the use of paper indexes (despite the fact that there is an online grading system), in-person semester registration and physical consultations, rather than using online resources.“
The research findings show that there is a significant digitalization gap in state universities and that significant efforts are needed to improve the infrastructure, resources, and training needed to support digitalization in these institutions. It also points out the percentage of the budget allocated to digitalization in state universities in North Macedonia remains relatively low.
The Macedonian Statistics Office does not keep numbers on how many of the citizens study abroad. The only thing they can tell us is that there are currently 400 students under their scholarсhip studying at the top 100 universities in the world.
Not only young people are leaving their homeland. In Montenegro, unlike in the second half of the last century, when the country was mainly leaving lower-skilled labor, in recent decades, many of those leaving are highly educated.
"Unfortunately, the Ministry of Internal Affairs does not have accurate data on the number of emigrated citizens or the reasons for their departure, as those leaving Montenegro do not deregister their residence in order to retain certain rights in Montenegro, which makes it difficult to assess the overall scope of migration. Therefore, systematic monitoring of migration is the first and most important step, especially considering that, according to research on youth, we have a stable 50 percent of young people who wish to leave Montenegro," says demographer Miroslav Doderović.
The continuous emigration from Montenegro, mostly of younger residents, is also confirmed by the official data from the State Statistics Bureau (Monstat), according to which Montenegro had 615,035 inhabitants in the 1991 census, and 32 years later, in 2023, only a few thousand more – 623,633, including over 90,000 foreign nationals.
One of the top immigration destinations is Germany where officially there are 10,413 citizens of Montenegro.
Why leave
Key measures that can influence the factors driving and pulling migration include increasing the efficiency of active labor market programs, with an emphasis on integrating long-term unemployed individuals and young people.
"Long-term unemployment is one of the key challenges in Montenegro. Despite positive trends in the labor market, long-term unemployment represents a high percentage of 72 percent in 2023, compared to total unemployment. The long-term unemployment rate was almost 12 percent in 2019. The largest group among the long-term unemployed are those seeking employment for the first time, mostly recent graduates," explains Doderović.
As the main reason for leaving Montenegro, the majority cited the economy, while half of the surveyed Montenegrin citizens says they moved abroad for family reasons, and some for educational purposes.
"The largest number of registered Montenegrin citizens are working, studying, or residing in Germany, with a total of 10,413. The largest number of registered individuals working or studying abroad comes from Podgorica, with 6,384 people," says Monstat.
"For a more comprehensive understanding of the migration issue, particularly the structure of the population leaving Montenegro, detailed research is needed so that policymakers and decision- makers can more clearly target key problems and propose programs to retain and attract the
population," says Doderović.
The emigration of young people from the Balkans, especially from Montenegro and North Macedonia, poses a serious challenge to the future of these countries. While young people are leaving in search of better education, job opportunities, and a higher quality of life, this trend has long-term consequences on the development of the region. Although there are numerous initiatives aimed at halting this trend, such as improving the education system, better working conditions, and creating new opportunities for young people, it is clear that only through joint efforts at the regional and international levels can we create conditions in which young people can stay and contribute to the further development of their countries..
Center for Investigative Journalism of Montenegro (CIN-CG) along with the partners in Reporting Diversity Network have opened the call for project proposals aiming to counter hate speech and improve representation of diversity.
The call was opened as part of the Reporting Diversity Network, which was established with the objective of effectively influencing media representation of ethnicity, religion, and gender in the Western Balkans. RDN aims to activate the role of civil society in countering the narratives of division and replacing them with much-needed positive discourse contributing to the value of good neighbouring relations and respect for social diversity.
The Call for Proposals will be publicised with the overall objective of increasing the influence of CSOs on media reporting shaping perceptions of ethnicity, religion and gender in the Western Balkans.
The specific objectives of the Call will be to:
- strengthen the position of local CSOs in safeguarding their beneficiaries’ rights in media
- provide opportunities for local CSOs to influence public perceptions and respond to hateful and harmful narratives contributing to polarisation.
- increase the number and quality of messages conveyed to the audience to diminish the effect of polarising narratives
- improve visibility and media representation of women and minority rights’ issues
- contribute to positive perceptions of the others and tolerance and inclusion in the region
Types of actions that are eligible for funding (list is open and might include other project ativities as long as they contribute to the above-mentioned objectives):
a) Advocacy and awareness-raising campaigns;
b) Production of media content;
c) Creation of campaigns countering hateful narratives in the public sphere;
e) Consultations, roundtables and meetings with local stakeholders;
f) Facilitating policy dialogue with stakeholders (e.g. political parties, local officials, expert community, media).
All activities must take place in the country where the organisation is registered.
Project timeframe is maximum of nine month.
The overall budget for the programme is 30.000 EUR per country. Five projects per country will be supported, while the envisaged size of grants is minimum 5,000 EUR and maximum 7,000 EUR.
CSOs responding to this call must meet the following criteria:
• that they are registered and that they have settled all legal obligations;
• have experience in the field of representation of diversity and/or hate speech;
• be directly responsible for project preparation and management;
• that their bank account is not blocked;
• that the organisations are not beneficiaries of the funds of the EU Civil Society Facility and Media Programme in favour of the Western Balkans and Turkey for 2021-2023 (IPA III), budget line: 15.020101.01
• Organisations can submit only one project proposal under this Program as an applicant or as a partner
We welcome applications from diverse type of civil society organisations: grassroot organisations, memebrs of the larger-scale networks acting nationaly or regionaly, media established as CSOs.
Partnership with local media will be considered as an advantage and will ensure additional points.
A one-day training regarding the rules and procedures for the implementation of EU grants will be organised for selected grant recipients. The training will cover topics such as: project management, visibility rules, financial reporting, etc.
In addition, selected CSOs will be provided with mentoring support to assist them in conducting creative media campaigns to raise public awareness as well as in managing project activities.
We invite all interested organisations to fill in the application forms (attached).
The deadline to submit the application is May 31.
Please submit your question at assistantcincg@gmail.com and redakcijacincg@gmail.com by May 9.
Please submit your proposal at assistantcincg@gmail.com and redakcijacincg@gmail.com by May 31.
The evaluation criteria:
1) Relevance of the proposal to the objectives of the Call for Proposals and relevance of the proposal to meet the needs of the target groups; (30 points)
2) Effectiveness and feasibility of the action - clear links and consistency between objectives, estimated results, proposed activities and strategy; (20 points)
3) Financial and operational capacity to autonomously undertake the proposed activities - an elementary level of organisational and managerial capacity will need to be demonstrated; (20 points)
4) Impact and stakeholders’ involvement - proposals must be feasible and indicators objectively verifiable (number of citizens that will be involved in the action); (10 points)
5) Involvement of vulnerable groups and gender-related issues - proposals need to take into consideration the needs of vulnerable groups; (5 points)
6) Follow-up - proposals clearly stating how this project will align with their organisations' plans and future activities. (5 points)
7) Budget and cost effectiveness of the action – ratio between estimated cost and expected results must be satisfactory (10 points)
The Evaluation Committee will pay attention to geographic and thematic diversity of the grants, while respecting the principals of equal opportunities and inclusiveness.
Note: The Center for Investigative Journalism (CIN-CG) may request additional documentation no later than eight days after the deadline for submission.
Applications will be reviewed by an independent Evaluation Committee.
Investors from Serbia, Russia, and Turkey were the leading contributors to Montenegro's investment landscape last year. However, the profiles of these countries do not align with Montenegro's Euro-Atlantic aspirations. Many foreign investors have expressed dissatisfaction with the investment climate, while the Government lacks a clear strategy to address these concerns.
Predrag Nikolić/Đurđa Radulović
In the past year, Serbia, Russia, and Turkey were the leading foreign investors in Montenegro, accounting for over a third of the total foreign direct investments (FDI) in 2024. These three countries collectively invested approximately 318 million euros out of 889 million euros in FDI. In contrast, investments from the European Union (EU) countries were significantly lower, totaling only 250.5 million euros.
"The depth of the integration process is not reflected in the shift of investor profiles, as EU countries do not dominate the top of the list. This statistic reveals significant gaps that warrant further investigation," Gordana Đurović, a full professor at the Faculty of Economics and former Minister for European Integration, says in an interview with the Center for Investigative Journalism of Montenegro (CIN-CG).
The trend of investments from countries outside the Western bloc continued even after Montenegro regained independence in 2006 and declared EU and NATO membership as key priorities. Since then, Montenegro has received over 14.6 billion euros in foreign direct investments (FDI). Of this total, ten countries accounted for approximately nine billion euros in assets. Among them, only four are members of both the EU and NATO, along with Turkey, which is part of the NATO alliance.
FDI by Country of Origin, Table Based on CBCG Data
Italy, Austria, Cyprus, and Germany are among the top ten foreign investors from EU countries, with their total investments exceeding three billion euros.
Russia leads in foreign direct investment (FDI) with over two billion euros invested, maintaining a position in the top five investors every year since Montenegro's independence. Following Russia are Switzerland, Italy, and Serbia, each contributing slightly more than one billion euros. The top ten also includes Turkey, along with the United Arab Emirates (UAE) and Azerbaijan, each investing over half a billion euros.
Since 2006, investments from EU countries account for less than half of the total FDI, totaling 6.1 billion euros.
In a statement to CIN-CG, the office of Prime Minister Milojko Spajić highlighted some of Montenegro's most significant projects, such as the submarine energy cable between Montenegro and Italy, implemented by the Italian company Terna. They also pointed out that many representative offices of foreign companies based in Serbia indirectly contribute to investments in Montenegro.
Furthermore, they assert that, in line with Montenegro's EU accession process, a greater influx of investments from Western European countries is expected.
"Due to global developments in recent years, there has been a decline in interest from Russian investors, while interest from the EU and other countries has increased. Therefore, we disagree with the statement that developed EU countries are not investing in Montenegro," the Prime Minister's office states.
However, data from the previous year, based on statistics from the Central Bank of Montenegro (CBCG), contradicts these claims. Serbia, Russia, and Turkey remain the leading foreign direct investors.
Tax Havens: A Major Source of Foreign Capital in Montenegro
Since its independence, the top 20 most prominent investors in Montenegro include tax havens, such as the Virgin Islands, with 184 million euros, and Panama, with 173 million euros. When investments from other similar destinations—like Barbados, the Bahamas, Belize, Jersey, Mauritius, Seychelles, Gibraltar, Bahrain, the Cayman Islands, and the Marshall Islands—are included, the total exceeds 600 million euros. This amount alone surpasses the total investments from Germany, one of the largest EU investors, since Montenegro's independence.
In reality, investments from non-transparent regions are likely even higher. Offshore companies based in countries like Cyprus, the UK, the Netherlands, and others are not reflected in these figures, as there is no available data to differentiate between investments from offshore companies and those from entities with transparent ownership structures.
"Investment through offshore companies may suggest an attempt to conceal the true owner or the origin of the capital," Zarija Pejović, an economic analyst, says in an interview with CIN-CG. "Domestic capital can also set up a company in a tax haven and then establish a subsidiary in Montenegro, benefiting from lower tax rates at the parent company level. In such cases, the oversight of the Tax Administration is crucial."
There has generally been a lack of oversight regarding the influx of substantial capital into Montenegro. The investments made by hidden owners have had a greater impact on the personal enrichment of individuals than on the overall well-being of society and its citizens. Investing through offshore companies was frequently utilized by Montenegrin nationals to conceal the origins of suspiciously acquired capital and subsequently legalize it within the country.
The Pandora Papers, a global investigation into offshore financial activities, was conducted by the International Consortium of Investigative Journalists (ICIJ) in collaboration with partners from 117 countries. The leaked database includes nearly 12 million documents sourced from registries in jurisdictions such as the British Virgin Islands, Panama, Belize, Cyprus, the United Arab Emirates, Singapore, the United Kingdom, Switzerland, and others.
This 2021 affair has yet to reach a judicial conclusion in Montenegro. The Panama Papers reveal that former Prime Minister and President Milo Đukanović and his son Blažo were involved in secret asset management agreements in 2012, concealing their assets through a network of companies registered in the United Kingdom, Switzerland, the British Virgin Islands, Panama, and Gibraltar.
Lack of Investment in Montenegro's Development
The issue goes beyond the source of the money. Gordana Đurović emphasizes that, in terms of structure, the investments fail to demonstrate a focus on active engagement in the real sector, which is critical for the country's development. This presents a significant challenge, as Montenegro has relied almost entirely on foreign direct investment (FDI) for its growth and development since gaining independence. "The net inflow of FDI has averaged about 14 percent of GDP annually, highlighting a development model that is largely based on attracting FDI, without a strong export orientation, particularly in terms of commodity exports," Professor Đurović explains to CIN-CG.
However, despite foreign direct investment (FDI) since independence approaching 15 billion euros, with nearly 10 billion euros in net FDI, these funds have been insufficiently utilized for the country's development, Đurović explains.
FDI Structure, Table Based on CBCG Data
The structure of investments since Montenegro's independence reveals that the largest share of capital went into real estate (32.9%), followed by investments in the real sector (31.6%). In comparison, 30.6% of foreign direct investment (FDI) went into intercompany debt—essentially loans from parent companies to their subsidiaries in Montenegro. These loans do not contribute to increasing the basic capital of the local companies.
Zarija Pejović explains that the high share of intercompany debt (30.6%) suggests that parent companies prefer lending to their subsidiaries in Montenegro instead of recapitalizing them. This strategy allows them to reduce taxable profits by deducting interest rate expenses, thus lowering their tax liabilities in Montenegro.
According to CIN-CG sources, investments in real estate accounted for over half of the total FDI in 2023 and 2024, a worrying trend considering Montenegro's failure to diversify its economic sectors and encourage exports. "Healthier investments, such as those from Serbia, contribute to the real sector, which supports the country's development. In contrast, Russian investments predominantly flow into real estate, which stifles development," Đurović says.
Pejović adds, "The impact of real estate investments on economic growth is primarily seen in increased consumption. This drives up property prices, making it harder for the local population to afford homes for basic needs."
However, the Prime Minister's office argues that real estate investments can benefit society. "They don't necessarily hurt the economy, especially through growth in the construction sector, increased tourism, business, and housing capacities, and the rise in consumption linked to property purchases—investments that typically offer quicker returns than those in the real sector." They also highlight that such investments contribute to employment, strengthen supporting activities, and increase budget revenues through taxes and fees. "Moreover, this type of investment, particularly through the economic citizenship program, has accelerated the development of northern municipalities, especially Kolašin," the Prime Minister's office stated in an interview with CIN-CG.
However, several experts, architects, and urban planners have warned that the rapid urbanization of Kolašin, driven in part by the economic citizenship program, has led to the city's degradation and the destruction of surrounding areas. This phenomenon of accelerated urbanization has similarly impacted other valuable regions in Montenegro.
Investments in Companies Decline Since the COVID-19 Crisis
Foreign direct investment (FDI) has significantly declined over the past two years, following the increases in 2021 and 2022. The drop in investment, particularly in companies and banks, is especially notable. In both 2022 and 2023, investments in domestic companies were lower than in 2020, the year of the COVID-19 crisis, when they totaled 123 million euros. When accounting for inflation since 2020, the figures become even more concerning. In 2020, investments amounted to 123.8 million euros, rising to 215 million in 2021 and 219.4 million in 2022. However, in 2023, there was a dramatic decline, with only 95.2 million euros invested from abroad. While the situation slightly improved in 2024, investments in companies only reached 113.9 million euros, almost half of what was invested in 2023.
Despite the sharp decline in company investments, CBCG data shows that real estate investments have remained steady, averaging around 450 million euros annually over the past three years.
FDI Structure (2020-2024), Based on CBCG Data
"Analysis of FDI inflows into Montenegro reveals a downward trend in recent periods, accompanied by shifts in the structure of investments. Specifically, there has been a decline in investments in companies and banks, while the real estate sector has seen an increase. This shift indicates a weakening of Montenegro's investment attractiveness, further exacerbated by political instability in the country, according to the 2024 White Book by the Montenegrin Foreign Investors Council.
The trend of rising investments was particularly notable in the post-pandemic period and following Russia's aggression against Ukraine. In 2021, the first year of the invasion, FDI surged, nearing the one billion euro mark, and in 2022, it surpassed one billion. However, in 2023 and 2024, FDI dropped below 900 million euros.
"Montenegro needs more investments in companies and fewer in real estate, as only such investments can have a sustainable and measurable impact on the development of local communities and the country as a whole," Gordana Đurović notes.
According to data from various sources, approximately 100,000 foreign citizens have temporarily settled in Montenegro. However, as highlighted by CIN-CG sources, this influx has not led to significant investments in the real sector or the creation of new jobs.
Research by BIRN in 2023 revealed that 64% of the nearly 6,000 companies established in Montenegro by Russian citizens following the invasion of Ukraine have only one employee, while over 20% have no registered employees beyond the founder. In the first year of Russia's aggression against Ukraine, these companies contributed just 4.8 million euros to Montenegro's budget, according to BIRN's findings.
Government's Absence of a Clear Strategic Vision
Spajić's cabinet informed CIN-CG that the Government's priority is to direct investments, particularly foreign ones, into the real sector of Montenegro's economy. However, according to Gordana Đurović, the investment community perceives Montenegro, like other Western Balkan countries, as lacking sufficient security for private property and investments. She adds that the absence of effective control over foreign investors, slow responses to poor business practices, breaches of contracts, and violations of investment deadlines all work against the state's interests.
"The potential for foreign investment in Montenegro, and its potential for economic development and diversification, is unquestionable. However, to fully realize this potential, it is necessary to ensure a predictable and transparent business environment," the Foreign Investors Council in Montenegro stated. They emphasized that strengthening the rule of law is essential for creating a predictable and stimulating investment climate. Despite highlighting this need for years, they noted that the situation has yet to improve.
On the other hand, the Government pointed out to CIN-CG that Montenegro is actively strengthening economic stability, creating new jobs, and boosting competitiveness. They claim to address challenges such as the availability of skilled labor, infrastructure development, environmental protection, and restitution, which have caused delays in investments in the real sector. Furthermore, they are focused on improving the legislative framework to enhance the investment climate.
However, the Foreign Investors Council in Montenegro believes that despite some post-pandemic progress, the fundamental issues persist, as detailed in their 2024 White Book. "The Government's reform efforts are insufficient to address the serious challenges threatening the sustainability of Montenegro's economy," the publication states. It also points out that the GDP growth the Government promotes is largely driven by increases in wages and pensions, rather than a boost in productivity from production and investment, which undermines long-term development. They further assert that the stabilization of public finances is mainly due to foreign spending rather than genuine structural reforms. The increase in minimum wages, they argue, is also questionable as it is not tied to growth in the real sector.
The White Book highlights several alarming issues: the economy's dependence on consumption, an alarming trade deficit of 14%, a lack of exports, inflation surpassing the EU average in 2022 and 2023, which has hindered the survival of small and medium-sized enterprises, especially in underdeveloped regions, and an oversized public sector, which remains the country's largest employer. It also stresses the lack of economic diversification and the over-reliance on tourism.
The publication also includes recommendations for urgent action: developing agriculture, processing industries, and technological sectors; reducing excessive employment in the public sector; supporting small and medium-sized enterprises, particularly in underdeveloped regions like the north; and fostering an environment conducive to productive FDI.
Should these recommendations be implemented, the structure of FDI in Montenegro could shift significantly, favoring the real sector and contributing to more sustainable economic conditions in the country.
Vedat, a Roma boy from Gjakova, Kosovo, was born in 1994 and was just five years old when the war erupted in his homeland. He was born with a severe infection in his leg, and due to the immense pain he was experiencing, his father, Fadil Behluli, decided to take him to the hospital one day. A few hours post-surgery, as he rested in his father’s lap, he witnessed three uniformed individuals dragging his dad away and shooting him in the hospital's backyard. He recalls the moment with great clarity even now. That was the final moment he shared with his father. Unbeknownst to Fadil, sending his son, who was suffering immensely, to the hospital would lead to a heartbreaking, tragic outcome—he would never return to his wife Hatem and their other children.
“The thing that I remember during the war in Kosovo is this: I was four and a half years old, five perhaps. It’s very vivid, I remember people being tense, and I know that I was sick because of my leg, I had it swollen or something like that, so my dad took me to the hospital, my mom wanted [to come] too, but my dad decided that she shouldn’t, so my dad took me to the hospital, and they fixed my leg. And after that, after the surgery was done and stuff, he put me to his lap. And he was trying to make me feel better even though I’m in pain. And there’s two or three guys walking down the hallway of the hospital with masks on. The views are vivid when I think about it sometimes, even when I see dreams everything is vivid. I can see a full picture, but when I talk about it it’s blurry. So, yeah, they walk into the hospital, they accidentally bump into my leg, I start crying, my dad tried to calm me down, but you know he got aggravated and he wants to be the hero, he gets up and says to them “hey watch where you’re going and bla bla bla”. So, they grab my dad, take us behind the hospital, and they shoot him. And are about to shoot me as well but one of the nurses comes into my rescue, she grabs me from them and the on this way she got a scratch on her arm, she puts me into her car and drives all the way to our house and takes me home and tells my mom what happened,” says Vedat who now is 30, for Center for Investigative Journalism in Crna Gora (CIN CG).
Shortly after, five years old Vedat and his mom Hatem who was five months pregnant with her fourth child at the time, left Kosovo to come to Montenegro and seek refugee and they haven’t gone back to live in Gjakova since. When asked how his life has been in Montenegro as a person with special needs he responded as follow:
“My life in Montenegro hasn’t been that great as a child because I got bullied, mistreated and all this stuff not only from friends and kids from school but…”, Vedat stops for a moment.
“Not so comfortable to say it but not only from friends or school [did I get bullied] but also from family side, trying to turn me down and make fun of me and whatnot”, told Vedat.
Beginning teenage years, Vedat got to go to the US through an international program that facilitated him by providing help with a very delicate process, which is getting a passport, in order for him to leave Montenegro and go to the United State for a few years.
“I didn’t live my teenage years here in Montenegro, I lived in the United States, so yeah. And the reason why I went to the United States is back in 2005 my aunt in United Kingdom she found some missionaries that work anywhere in United States and other countries. There’s this missionary, his name was Bob Hitchen, bless his soul he passed away a few months ago, I just found out. He came to my country, in Montenegro in 2005, they took pictures of me, they were asking questions, they were explaining to my mom and they stayed with me about a year to get the documents, because I had no documents. I didn’t have any Kosovo documents, I didn’t have any Montenegro documents, they did help me. And then in 2006 I got my Serbian passport and then I was able to go to the United States in March of 2006”, ended by saying Vedat.
Countless stories of horror, pain, and loss are behind thousands of Roma people who came to Montenegro from Kosovo’s war. What distinguishes the sufferings of this community from others? The emphasis they (did not) get. Indeed, every year and anniversary, along with numerous conferences and diplomatic visits overseas, we acknowledge and strive for justice for the Albanian civilians slain and massacred. However, this justice does not extend to the victims from minority communities, who, despite their existence, still bear the sorrow of their loss in their hearts. People rarely, if at all, remember them, nor do they construct stone memorials for them as there are for Albanian victims. In one instance, the Serb regime threw a grenade into Mitrovica's Green Market, killing civilians. That day, the grenade claimed the lives of seven people. The victims included six Albanians and a five-year-old Roma girl. The municipality raised a memorial in which they wrote the names of the victims after the war ended, but it only consisted of six names. Guess whose name was missing? Yes, that of the Roma child. Without this picture, which was taken on the exact day of the child's death, we wouldn't have found out of the child's existence in the first place.
People in Kosovo, especially the majority community there persecute and discriminate against this community, accusing some of them of siding with the occupier, specifically the Serbian forces, during the war. In Montenegro, the same community encounters various challenges, which we will explore further in this article.
The CIN CG managed to contact Siniša Nadaždin (a picture of him on top of the article), a pastor at a local Protestant evangelical church who is one of the most renowned people who has worked, especially with the Roma community who have come to Montenegro after the war in Kosovo that took place in 1999. Nadaždin shared with us not only his experience in the past and how things progressed in the meanwhile but also how he regards the situation to be these days concerning this community in Montenegro.
“We need to talk about the way things were at the beginning, the way things were in the middle, and the way things are now. There was a process of 20 years. When they first arrived, they were definitely not welcomed. In the first couple of years, a lot of them migrated to Italy, going on these rafts. There was a catastrophe at some point. A lot of people died. I know people who personally went across the Adriatic that way. So, after a couple of years, thousand remained in Montenegro. I would say probably half of them, were here in Podgorica, in these two refugee camps, and around the refugee camps. How were they treated? They were treated awfully”.
Nadaždin claimed that once these refugees arrived on their new lands, no one wanted to assume responsibility for their well-being. He told us that everyone was more than happy to see them leave as soon as possible, which, to quite some degree, never happened.
“There were a lot of these legal loopholes. For example, the Camp Konik II that I mentioned, at some point ended up on no man's land. It didn't belong to UNHCR. The local government didn't want to accept it as their responsibility. So, there was some electricity over there, but then people started stealing electricity. So that whole place was out of any sort of norms, out of any sort of regulations. There was a community of 300 plus people where they were just left on their own. They had a landfill right across the wall. The Konik II camp was leaning against the wall of the landfill, so they were going to the landfill. The whole families dig overnight to get scrap metals. It is a very complicated story. But after it was obvious they were not welcomed, they were not embraced. And I want to say, probably nobody has ever said it out loud, but everybody was waiting for them just to go back home or move further, and they didn't. Several thousand stayed,” told Nadaždin for CIN CG.
Obtaining residency permits
Nadaždin told us about the help that the church staff gave to the Roma people who came from Kosovo while also mentioning how difficult the process of registering and applying for permanent or temporary residency permit was for them as well as how back then they tried to facilitate in this aspect too, other than in the “essential needs” such as food, clothing and medications. He told us that other than the process being too costly, too complicated and the procedures being too bureaucratic these people could apply for the residency only if they were in the refugee database, after bringing their Kosovar or Serbian documents, which they had to go and take in both respective countries.
This community lived in tents for almost a year
While looking towards their current situation and living conditions is important, it is as much important to remember that no other refugee from any country or any other ethnicity was put to live in the conditions that these Roma people were faced with upon arrival.
Nadaždin recalls his memories by noting “They lived in tents for almost a year. Nobody else. No other refugees were placed in, living conditions where they had no toilet facilities. They had to share all these toilets. They had to share water taps”.
He also remembers how for the conditions of the area in which they were put no one wanted to take responsibility, that at that point that land belonged to nobody, it was a nobody’s land. And Kosovo didn’t bother much and continues to be reluctant and avoidant about its once citizens, and the government of Montenegro including the local governance didn’t bother much, those Romani at that point were treated as nobody’s people.
The housing provided:
In 2019, two housing units were provided for the Roma and Egyptian population funded by the Regional Housing Program, but the apartment’s state seems not to be a success story. For this Nadaždin blames the lack of the law enforcement by institutional bodies of the state.
“But now, after obtaining their permanent residency, things have changed. Since 2015, 2016, 2017, they gave them these new apartments. There's almost like 250 apartments over there in that complex. I'm not sure how many people, at least 1,500 people live there. And they got these apartments cheap, almost for free. They were supposed to pay some tiny bit of rent, well, sort of a rent to the government, they don't do that. They don't pay a lot of other things, so the condition of these apartments is deteriorating”, described Nadaždin.
When asked what the government should do, the pastor said that there isn’t much affirmative action that the government can do. Instead, he said that the law enforcement can be an effective solution upon those who case the deteriorating state of these buildings and the damage of the lives of the other members of the community who are responsible citizens.
The inner dynamics
While commonly it is not stated, dynamics between the Roma community member who came from Kosovo during and after the war and those who were already here did arouse. Most of which, according to members of both parts, because that the latter felt that all the funds as well as the attention went to the first, making the domicile Roma citizens feel neglected and overshadowed.
The language barrier
When asked whether the situation is better with the Roma community in Kosovo or that in Montenegro, the pastor said that due to the language barrier being one of the factors, he sees the case of Kosovo as more promising compared to the situation or the Roma from Kosovo in Montenegro.
Here, there's always a language barrier. For some of them, Serbian is, like, their third language. For some of them, it's their second. So, some speak better, some speak worse. There's always going to be a wall between them and the rest of the population. So, because they came from where they came from, they also tend to self-isolate. When I think of Romani in Kosovo, there's probably less of that, that at some point, the chances for real integration are going to be greater. Here, it's going to be harder”, Siniša said while expressing his opinion.
People on these apartments not paying their fees
Vllaznim Batusha, an Egyptian who migrated from Kosovo after the war and currently resides in these apartments, expressed how challenging it is for these individuals to meet their financial obligations and support their families. He attributed this difficulty to the low employment rate, which results in a single member supporting a whole family, and the relatively low wages these individuals receive. However, he also asserts that maintaining one's space is a matter of personal responsibility. According to him, some families maintain their apartments in a responsible manner, while others cause significant harm to their neighbors by damaging mutual facilities.
CIN CG was there and witnessed very poor maintenance of these buildings.
Nadaždin describes the situation thoroughly while restating that law enforcement and order would’ve prevented this from being the case.
“You know, you see how people get wire from the wall, and then they plug in somehow to get their electricity. I mean, let's go down to the basement and see what happens there. There are frequent wildfires over there. So, when I say law enforcement, that's what I mean. There have to be some law and some order. Were they have to feel it. But now it's just survival. Now it's just getting electricity. To get electricity for their Internet. So, what I'm saying, people choose to pay for their Internet. They will not pay for their water”, said Siniša.
Although many things have progressed since the first days that the Roma community from Kosovo that came after the war was first placed in Montenegro cities, and their story, rather than a black-and-white one, is grey, by no means should it be seen as a success story. And the outside looks of their living areas now—once one digs deeper—are seemingly deceiving of what actually is the case. To this day, this part of the Roma community that lives in Podgorica, especially, is not integrated but rather lives in a ghetto, separated from the rest of the society. And when describing it as a ghetto, one could go further and put the adjective “modern” next to the noun. “Modern” because it looks nice from the outside, “modern” because it doesn’t look even close to the tents in which this community was first placed. And, yet, their living standards, on average, because even there one family differs from the other, are far from being compared to that of an average native Montenegrin family.
Why does this remain the case, and is the government supposed to do anything about it? According to Siniša, it is part of human’s nature to try and find the easiest, cheapest way out; however, it is the government that should not allow people to continue to live in these conditions.
“So, there are these situations where there's also poor management, poor culture of using things. You can't improvise forever. It works for a period of time, but then, people try to hook up this wire with this wire and that wire with that other wire. I've seen some houses over there where they try to save money on everything. So, they get windows from the garbage or they find pieces of wire that they connect together, and those pieces of wire that are poorly connected there, they're inside of the walls. First of all, people shouldn't be allowed to live like that. There has to be government incentive, but also there has to be government regulation. You can't just let people do whatever they want. And people will always try to find easy way out. In this case, cheaper way out”.
The political representation
Shortly put: there isn’t one. The Roma community does not currently hold seats in the Montenegrin parliament. For years now, a quota has guaranteed political representation for most other non-majority communities but not to the Roma and Egyptian communities.
Writes: Hanmie Lohaj
"This article has been produced with the financial assistance of the European Union. The contents of this document are the sole responsibility of CIN CG and can under no circumstances be regarded as reflecting the position of the European Union."
Brendon Berisha was only three years old when he came to Montenegro in 1999. He was born in Kosovo, and since then has had the citizenship of Kosovo. The same applies to the woman with whom they gave birth to their daughter, Elemedina, who was born in 2014 in Montenegro. Shortly after her birth, her parents separate and her mother moves to France. Since both of her parents are Kosovar citizens, Brendon attempts to register his daughter in Kosovo since this is the first requirement before applying for his daughter's documentation in Montenegro, but his efforts are unsuccessful as the court in Kosovo does not permit it without her mother's presence. Brendon must initiate legal proceedings to secure the girl's legal representation, and while this case remains unresolved, time passes. In May 2024, he successfully obtained Montenegrin citizenship for himself. In order for his daughter to obtain the residence permit of the country in which she was born and raised, i.e., Montenegro, she must first obtain the citizenship of Kosovo, and because of the complications of obtaining that of Kosovo after the separation of her parents and the stipulation by the state of Montenegro that the girl first have the citizenship of her parents, today, 10 years old Elemedina has no passport, therefore no citizenship. Elemedina, with all the rights and accesses denied as a citizen born and raised in the state of Montenegro, finds it impossible to have full access to the health services she needs due to the health problems she is currently suffering from for a while.
Some context
In September 1999, Tatjana Perić, affiliated with the European Roma Rights Center, reported from a field mission that approximately 10,000 Roma from Kosovo had been relocated to Montenegro since the onset of the Kosovo war, detailing the harrowing experiences that compelled these individuals to abandon their homes. Conflicting reports emerged, with some sources claiming that Montenegro had taken in 12,000 individuals at that time, while others suggested that even greater numbers of Roma refugees from Kosovo had been welcomed. Nonetheless, in light of the significant transformations these figures have experienced, considering the migration patterns of many individuals to neighboring countries, both within and beyond the region, it is evident that, more than 25 years later, the population of Roma individuals originating from Kosovo has drastically lessened. However, the status of civil documentation for these individuals and their descendants has remained unchanged since the initial crossing of the border. A considerable number have succeeded in acquiring a residence permit; however, the overwhelming majority, if not all, remain without any form of documentation, whether it be a Montenegrin ID card or passport.
Furthermore, the children and later generations of these Roma have neither been able to nor have some even sought to acquire documentation from the state of Kosovo. One contributing factor is that they have not lived in or returned to their birthplaces in Kosovo for over twenty years. Center for Investigative Journalism in Montenegro (CN CG) has come to understand that over the course of more than twenty years, in Podgorica and other cities across Montenegro, there are individuals facing the risk of statelessness, which deprives them of several essential human rights. While pursuing citizenship in their country of residence, where their children were born, remains outside the target's trajectory, it is noteworthy that even 25 years later, there are Roma residents in Montenegro who directly arrived during the war whose children, nieces, and nephews were born and live to this day in Montenegro and who still lack a residence permit, let alone claiming more. The legal, circumstantial, and civil factors surrounding this situation are abundant, yet the more pressing issues lie in the challenges, difficulties, and obstacles these individuals face in meeting the essential conditions and requirements to apply for a residence permit in the first place.
What does it take for an individual to obtain the residence permit as a Roma from Kosovo who fled during the last war there?
Imagine being a citizen who fled Kosovo during the war and has not returned for numerous reasons. You have a legitimate desire to obtain a residence permit, ensuring your continued presence in the country where you have lived and worked for over twenty years, and where your children were born, in this case Montenegro. The chance to transition from refugee status to acquiring a residence permit was provided after the initial decade of living here, specifically between 2010 and 2014. If you have met all the conditions, your residence permit has been granted. What occurred in the instances where the absence of prior documents presents the greatest variety? Being part of a minority community in Kosovo, facing a challenging standard of living and even harsher living conditions, you have often found yourself without documents, whether they were lost or destroyed during the war, leaving you without any identification whatsoever since that time. To obtain a residence permit from the Montenegrin state, you must travel to either Kosovo or Serbia and possess the necessary documents from one of these two countries. Let’s say you choose Kosovo. To accomplish this, you must return there in person; however, crossing the border to return to Kosovo presents a significant challenge as you lack a passport. However, the Kosovo embassy in Montenegro allows you to cross the border with a special letter, which you manage to get with considerable difficulty. Nevertheless, you cannot use this letter to return to Montenegro. Therefore, you must stay in Kosovo until you obtain a Kosovo passport, document all your return activities, and continue to reside there until the passport procedure is completed. Meanwhile, you face the challenges of living in a country where you may or may not have any distant family members, let alone finding a place to stay and a job that can financially support you during that period, during those months. If you haven't returned to Kosovo since the war, and your children were born in Montenegro, which is certainly the case, you should register them in Kosovo by taking them there. Only once they receive their documents in Kosovo, they will be eligible to apply for a residence permit in Montenegro.
Within a matter of weeks CIN CG has successfully identified additional cases, each with its own specifics yet sharing a common thread: a range of challenges, obstacles, and difficulties in the pursuit of the residence permit. A significant obstacle lies in the realms of information and language, which has rendered the application process for obtaining a residence permit either impossible or delayed, even if only momentarily. The lack of cooperation from the embassies, whether of Kosovo or Serbia, is notably sufficient, hindering the provision of necessary assistance for these citizens to obtain relevant documents.
Credits of the photo: CIN CG
According to Elvis Berisha, the founder and director of the non-governmental organization "Phiren amenca," which has been addressing issues related to civil documentation since 2019, approximately 540 Roma individuals who came from Kosovo in Podgorica have yet to have their civil status regularized, all of which do not have residence permits.
“As for the data, we have the information from Montenegro’s government so far that there are 420 people at risk of statelessness and 120 people in the procedure, or in the process to obtain their residence permit to stay in Montenegro”, Berisha stated for CIN CG.
What or who is complicating the procedure of obtaining documents for these citizens?
Berisha said that although as an organization they have managed to help some people, there are many cases in which, considering their own specific complications, it is very difficult for them to reach the equipment with documentation, for which he also blames the laws in Montenegro and the bilateral relations between Kosovo and Serbia. He added that even though they have managed to help some, the total number does not go down because every day new children are born, i.e. new citizens of these citizens who already do not possess documentation and if as an organization they help solve some cases, new cases will be added with the birth of other children who encounter the same problem, or put otherwise, to which the issue is inherited even prior to birth.
“So far, as an NGO we have identified and worked out with 62 people, out of which a few of those cases are already sorted out, we have helped them get their Kosovo passports and IDs, and have registered three children which have not been registered nowhere since birth. We have helped them registered in Montenegro and we have registered two children through Kosovo’s embassy in Podgorica. Meaning, so far, we have solutions for some cases, but for some not really. For some cases there are significant complications, and it goes back to the laws, but also to the bilateral relations in between Kosovo and Serbia. Three years ago, in 2021 we have registered them only in Podgorica, and haven’t been in every single house. We have found 416 people, 216 children and 200 adults only in Podgorica, who have not had their documents, or only very scarce documents. After three years the number is almost the same, because even though we have helped some fix the issue, the new generations are coming or new cases which we haven’t identified before.”, said Elvis.
“They do not have any document of Montenegro and who also cannot have any document of Montenegro because they came from Kosovo. For them to be able to get even the permit of residence in Montenegro they are required to have the citizenship either of Kosovo or of Serbia, the passport or the ID of Serbia or Kosovo. And these people have not been registered, ever, neither in Kosovo or in Serbia. And this adds up to the problems. For instance, we have one person, we have many in fact, but I’ll mention this one; this person is born in Kosovo, during the war there he was 10 years old. He has not been registered in Kosovo. When they came to seek refuge in Montenegro his mother and father were Kosovars, but their status was of refugees until 2010 and since 2010 till the end of 2014 was the deadline for them to apply for the status of obtaining the residence permit here. Some have applied, most have, but some haven’t. For instance, this person who has been 10 when he came here from Kosovo, he could not apply for the residence permit because he didn’t have the passport, or the citizenship of Kosovo. His mother and father have not registered him when they came here during the war, nor after the war, and that person has reached the age of 18 while still being without documentation. Once he reached that age, he could not register in Kosovo anymore, because according to the law in Kosovo, until the age of 18 you can register, but once you turn 18 and more one cannot. That person now has his own family, his own children, but in Montenegro that person can’t have neither the passport nor the residence permit, because the same person has never had Kosovo’s documents. Now we are struggling to help him in any way or form, because his dad has died, but even if he were alive, we wouldn’t have been able to do anything because that the law makes it hard for him after he reached the age of 18”, told Elvis.
The case of Besim’s and Valbona’s family
At 51 years old, Valbona Tatari has raised six children and is now a grandma to three. She and her family have been residents of Konik, a predominantly Roma neighborhood of Podgorica, for the past twenty years. She in early 2000 came to Montenegro from Kosovo and to this day nor her nor any other member of her family that is made by 12 other members have ever been issued a residence permit or any form of official Montenegrin documents. She opens out about the difficulties she and her husband went through attempting to get their permits, saying that nobody paid attention to them and that they were ignored and neglected.
“No one has helped us to get the papers, we’ve gone everywhere. They didn’t even care, to be frank. So, they’ve left us like this”, said Valbona.
She herself has tried multiple times to send her four sons to Kosovo to get their documents there, because even though she gave birth to all of them in Montenegro, she herself has Kosovan citizenship, and for them to pass the border, they were required to have a paper that is given from the Kosovo Embassy in Podgorica, which she claims the Embassy hasn’t provided her with.
“I have the papers in Kosovo, I have gone and made them there because I used to have none. I am from Vushtrri, but they said to me we don’t have you in our system here, so no papers for you, then I went to Mitrovica and there I was in the system and I got the papers within two weeks there. A woman helped me there. I also got the certificates for my two daughters because they were very young back then. I registered my daughters in my name. They said that I should bring my four sons in order for them to get the papers too. To get the papers for them I had to get them pass the border, meaning I had to take them to Kosovo. How can I pass the border for them without any paper? And this is how my children are left with no papers”.
Valbona claims that having no papers is keeping her and her family from having any access to any service possible and that she herself, having various chronic health problems, has no way to get treatment in the state she is living in for more than two decades now, in the same state that she has given birth to five of her children.
How do these "paperless children" enroll at any level of education?
Besim, Valbona’s husband, confesses that none of his children ever enrolled in school because of not having any documentation.
“We truly find ourselves in a dire situation. We have been living without any official documents for the past 18 years. Every illness, including the flu and cold, requires us to seek medical care from the private sector. All my daughters and sons are proficient in writing and reading, despite not attending even a single day of school”, said Besim.
According to Elvis, children with a residence permit are eligible to enroll in elementary and high school. However, for children without a birth certificate, the situation becomes more challenging. Some of these children enroll in elementary school but are unable to graduate, which means they cannot continue to high school or any higher education level.
“If they have no birth certificate, they cannot enroll in any education level, but we have some exceptions in primary schools, in which some kids are enrolled, but at the end of the school, in order to have their diploma, they have to provide their birth certificates because of the personal number that is on them,” said Elvis, director of Phiren Amenca for CIN CG.
The case of Besim and Valbona’s children is not the only one where, due to the difficulties parents have faced obtaining their children’s certificates, they have been deprived of any kind of formal education.
What is the direct impact of the lack of documentation on these citizens and the community?
Obtaining public services for these individuals is nearly impossible. When it comes to receiving health services, those who have problems receiving them in Montenegro would not be able to receive them in Kosovo, even if they went there, as they do not have the documentation for this from the state. Even if they were citizens of the Republic of Kosovo, none of Kosovo’s citizens have health insurance in Kosovo either. So, this community, caught between two fires in the middle, feels as it doesn't belong anywhere. The vast majority of this community have residence permits, but these do not guarantee full access to all health services provided in Montenegro’s public healthcare system. However, the lack of citizenship in the country where they live and work causes restrictions and limited access not only in the health sector but also in other sectors. The vast majority of this community, who have a legal residence permit and are not here "illegally," do not have the right to vote, which means they have no influence on public political life and therefore do not have decision-making opportunities. They also cannot run for official state positions, as they are not official citizens of Montenegro, or be part of the army. When they are denied these rights, there is automatically discrimination against them, making them referred and treated as second-class citizens. We note that obtaining Montenegrin citizenship is not an easy process for anyone applying; however, this community includes thousands of children who have been born and raised here, and to whom Montenegro is the only homeland they know and can think of.
Embassy of Kosovo in Montenegro:
Given that these Roma citizens originate from Kosovo and a significant portion of them hold Kosovo citizenship and/or have been born there, it is expected that the relevant Kosovo embassy in Podgorica possesses at least basic information about their situation in this country. But the reality cannot be more different. Despite the numerous complaints of these citizens that the services they seek to receive from this embassy are very slow and often non-existent, when we addressed the same with a few basic questions about the state of this community in Montenegro, including the question of what is an approximate number of Roma citizens who from Kosovo according to this year’s data, or how of can someone apply to get the citizenship of Kosovo after reaching the age of 18, the same is answered with the following sentence: “Unfortunately, we do not have the exact information you are looking for. However, we can direct you to the NGO "Koracajte sa nama - Phiren Amenca," who could potentially provide further assistance”. Yes, you read it correctly, they advised us to consult a non-governmental organization here for basic information such as the number of Roma citizens from Kosovo in Montenegro or on the application procedure for Kosovar citizenship after the age of 18 in Kosovo.
Writes: Hanmie Lohaj
"This article has been produced with the financial assistance of the European Union. The contents of this document are the sole responsibility of CIN CG and can under no circumstances be regarded as reflecting the position of the European Union."
The number of public administration and state-owned enterprises employees increased by over 5,000 from 2020 to the end of 2023. Meanwhile, between 2017 and 2023, local self-government saw an increase of more than 3,500 employees
Kristina Radović
In just four years, state-owned enterprises have added thousands of new employees, with some nearly doubling their workforce. Public administration has also seen growth at both the state and local levels, despite calls from the European Union (EU) and international financial institutions urging Montenegro to streamline its public sector and administration.
The Ministry of Public Administration's (MPA) Report on Implementing the Public Administration Optimization Plan 2018-2020 states that by the end of 2020, just over 42,000 people were employed in public administration at the central or state level. According to MPA data from November 2021, this number had risen to nearly 45,000, indicating an increase of 2,743 employees in less than a year. The Ministry of Public Administration projects that by June 2024, before the planned reconstruction of the Government of Montenegro, the number of public sector employees would reach 46,489.
Until December 2020, the Government was led by the Democratic Party of Socialists (DPS) under Prime Minister Duško Marković. This administration was succeeded by Zdravko Krivokapić's Government, which lasted until February 2022. Since then, two additional governments have taken office: one led by Dritan Abazović and the current administration under Prime Minister Milojko Spajić.
According to official data from the Ministry of Public Administration, as of June 2024, the largest public sector employees at the national level were in education and science, with more than 17,500 workers. Additionally, over 11,000 individuals were employed in various ministries.
The Government's website does not provide information on the number of employees following the reconstruction of Prime Minister Spajić's cabinet, which saw an increase in the number of ministries. The reshaped Government is notably larger than its original composition, now featuring seven vice presidents, 25 ministries, and one minister without portfolio.
Local governments are also seeing significant growth. At the end of 2017, just over 12,000 people were employed in local administration bodies and companies, while by the end of 2023, that number had risen to nearly 16,000.
The Report on the revision of the Bill on the final account of Montenegro's 2022 budget notes that between 2019 and 2022, the largest increase in public administration employment occurred in the health sector, with over 1,000 new hires, followed by education, which saw nearly 1,000 additional employees.
Municipalities Also Burdened by Growing Administrative Staff
These figures do not account for temporary, casual, and work contracts, of which thousands have been signed in recent years. For instance, the Municipality of Budva, with the approval of Mayor Marko Carević, signed 136 temporary and casual contracts in 2020 alone. Similarly, the Municipality of Ulcinj, under the consent of President Ljor Nrekić, concluded 189 such agreements.
Milena Muk from the Alternative Institute (IA) told CIN-CG that while the official data is quite conservative and its reliability may be questionable, it reflects a consistent growth trend in public-sector employment. She also pointed out that there is no comprehensive record of the number of people working in companies that are majority owned by the state or local governments.
According to the Ministry of Education and Culture's data from June 2024, Podgorica has the highest number of employees in local administration, with 1,129 staff members. In second place is Budva, which, despite having a significantly smaller population than the capital, employs 729 people.
It is noteworthy that Budva, with roughly two and a half times fewer inhabitants than Nikšić, has more public administration employees.
According to Ines Mrdović, executive director of Action for Social Justice (ASP), one of Montenegro's biggest challenges is that the Government rewards political loyalty, family members, and close associates with jobs rather than ensuring that the administration is staffed by highly skilled professionals who prioritize the interests of citizens.
"In addition to this issue, we must not forget the thousands of diplomas that have been purchased, resulting in a public administration that is not only dominated by party loyalty and nepotism but also compromised. Many individuals falsely present themselves as qualified professionals, such as lawyers or economists, which undermines the administration's ability to perform its duties effectively," Mrdović emphasizes.
Annual Growth in the Budget: A Persistent Trend
Public administration spending continues to rise each year. According to an analysis by IA, when the DPS government under Prime Minister Duško Marković began its mandate in 2016, the annual gross wages for state-level employees totaled 422 million euros. By the end of its term in 2020, this figure had nearly reached half a billion euros.
The new Government further increased these expenditures to 535 million euros in 2021. Last year, this amount hit a record high of 643 million euros.
Until December 2020, there was a majority Government of the Democratic Party of Socialists (DPS) of Prime Minister Duško Marković. The Government of Zdravko Krivokapić replaced that administration until February 2022. After that, two more governments were led by Dritan Abazović and the current Prime Minister Milojko Spajić.
Until December 2020, the Government was led by the Democratic Party of Socialists (DPS) under Prime Minister Duško Marković. This administration was succeeded by Zdravko Krivokapić's Government, which lasted until February 2022. Since then, two additional governments have taken office: one led by Dritan Abazović and the current administration under Prime Minister Milojko Spajić.
According to official data from the Ministry of Public Administration, as of June 2024, the largest public sector employees at the national level were in education and science, with more than 17,500 workers. Additionally, over 11,000 individuals were employed in various ministries.
The Government's website does not provide information on the number of employees following the reconstruction of Prime Minister Spajić's cabinet, which saw an increase in the number of ministries. The reshaped Government is notably larger than its original composition, now featuring seven vice presidents, 25 ministries, and one minister without portfolio.
Local governments are also seeing significant growth. At the end of 2017, just over 12,000 people were employed in local administration bodies and companies, while by the end of 2023, that number had risen to nearly 16,000.
The Report on the revision of the Bill on the final account of Montenegro's 2022 budget notes that between 2019 and 2022, the most significant increase in public administration employment occurred in the health sector, with over 1,000 new hires, followed by education, which saw nearly 1,000 additional employees.
Municipalities Burdened by Growing Administrative Staff
These figures do not account for temporary, casual, and work contracts, of which thousands have been signed in recent years. For instance, the Municipality of Budva, with the approval of Mayor Marko Carević, signed 136 temporary and casual contracts in 2020 alone. Similarly, the Municipality of Ulcinj, under the consent of President Ljor Nrekić, concluded 189 such contracts.
Milena Muk from the Alternative Institute (IA) told CIN-CG that while the official data is quite conservative and its reliability may be questionable, it reflects a consistent growth trend in public-sector employment. She also pointed out that there is no comprehensive record of the number of people working in companies majority-owned by the state or local governments.
According to the Ministry of Education and Culture's data from June 2024, Podgorica has the highest number of employees in local administration, with 1,129 staff members. In second place is Budva, which, despite having a significantly smaller population than the capital, employs 729 people.
It is noteworthy that Budva, with roughly two and a half times fewer inhabitants than Nikšić, has more public administration employees.
According to Ines Mrdović, executive director of Action for Social Justice (ASP), one of Montenegro's biggest challenges is that the Government rewards political loyalty, family members, and close associates with jobs rather than ensuring that the administration is staffed by highly skilled professionals who prioritize the interests of citizens.
"In addition to this issue, we must not forget the thousands of diplomas that have been purchased, resulting in a public administration that is not only dominated by party loyalty and nepotism but also compromised. Many individuals falsely present themselves as qualified professionals, such as lawyers or economists, which undermines the administration's ability to perform its duties effectively," Mrdović emphasizes.
Annual Growth in the Budget: A Persistent Trend
Public administration spending continues to rise each year. According to an analysis by IA, when the DPS government under Prime Minister Duško Marković began its mandate in 2016, the annual gross wages for state-level employees totaled 422 million euros. By the end of its term in 2020, this figure had nearly reached half a billion euros.
The new Government further increased these expenditures to 535 million euros in 2021. Last year, this amount hit a record high of 643 million euros.
In 2016, local governments spent 45 million euros on employee wages; by 2019, this figure had risen to 51.7 million euros across all local administrations. According to the Public Administration Reform Strategy 2022-2026 (Strategy), this period also saw an increase in expenditures for work contracts and temporary and casual job contracts.
"Until now, no government has dared to tackle this issue seriously, as this type of employment benefits political parties in power. Any government attempting to rationalize the number of public sector employees would likely lose the next election. Moreover, such a move would undoubtedly have a significant financial impact on the budget, as public sector employees, protected by collective agreements, are entitled to substantial severance pay, unlike their counterparts in the private sector," says Mrdović.
Fast-Tracking Employment in the Public Sector
The former Government was characterized by a lack of transparency, nepotism, and party-based employment practices, which have persisted under the current administration.
"Regarding employment systems and transparency, the DPS developed mechanisms for what we call a 'shortcut' to the administration, such as work contracts, consulting engagements, volunteering, and more. This system is still in place today. For example, you hire someone on a temporary work contract, extend it month by month, and eventually announce a competition. The individual receives the test questions in advance, and as a senior official, you give them the highest marks, leading to indefinite employment. These shortcuts have become the standard way of hiring," explains Mrdović.
The Report reveals that in 2020 alone, the number of employees at the central level increased by 1,179, and at the local level by 319. "The largest number of new hires and engagements occurred in the second half of 2020, coinciding with the parliamentary elections in August," the document states.
Muk notes that the underlying issues are flawed employment procedures and the absence of a meritocratic vision within the Government. "I use the term 'meritocracy' intentionally, as many of today's politicians promised it when they were in opposition," Muk adds.
A recent example of returning to old practices is the reintroduction of a rule allowing the Minister of Education, rather than school boards, to decide on the appointment of school principals.
"For less than two years, these provisions were repealed and reintroduced in the same way—through the Assembly, without public discussion, explanation, or a systematic approach. The new parliamentary majority, led by the Europe Now Movement (PES), justified stripping school boards of their powers by citing poor results," Muk explains.
He emphasizes that true depoliticization or professionalization cannot occur without a clear, predictable procedure and transparent criteria for evaluating all candidates.
One anonymous source told CIN-CG about their experience with recruitment in exchange for votes. "During the summer of 2020, I worked at one of Montenegro's companies, and I saw that four colleagues were given indefinite contracts in exchange for votes in the elections held on August 30, 2020."
Hiring Without Transparency: Jobs Granted Without Public Advertisements
Between 2020 and 2024, large state-owned enterprises hired thousands of new employees, with some adding hundreds to their workforce.
For example, Pljevlja Coal Mine hired 477 people over four years—an increase of two-thirds from 2020, when the company had 691 employees. By the end of 2023, the workforce at Coal Mine had grown to 1,168.
The 2023 Annual Financial Report for "Coal Mine" Pljevlja, published by the State Audit Institution (DRI), states that in 2022 and 2023, the company filled positions by transferring employees from other employers, primarily from the private sector, and signing work contracts with them.
"The actions described above violate Article 24 of the Labor Law, which mandates that the Employment Service must publicly advertise vacant positions in companies, public institutions, and other public services that are founded or majority-owned by the state or local governments, upon the employer's request," states the SAI Report.
Over the past four years, the number of employees at the Montenegrin Electric Distribution System (CEDIS) has increased by 361, reaching 1,721 workers by the end of 2023.
The 2022 annual financial report for "Montenegro elektrodistributivni sistem" LLC, prepared by the SAI, notes that the internal organization and job systematization, revised on September 8, 2022, included 511 positions. "The total number of employees in the company at the end of 2022 was 1,643, with 1,334 holding indefinite-term contracts and 309 on fixed-term contracts, marking a 4.8% increase from 2021, despite the workforce plan aiming for a reduction to 1,549 employees for 2022."
The Report further states that CEDIS hired employees without conducting public advertisements.
Over the past four years, the Post of Montenegro (PCG) hired 201 people, while the Hotel Group "Budvanska Riviera" (HGBR) added 183 employees, bringing its total to 595. Additionally, AAD "Elektroprivreda Crne Gore" Nikšić (EPCG) employed 163 people, resulting in 1,124 employees by the end of 2023.
Research by the Balkan Investigative Reporting Network of Montenegro (BIRN-CG) revealed a significant increase in the number of employees across five state-owned power companies: Elektroprivreda Crne Gore AD Nikšić, CEDIS, Montenegrin Electric Transmission System AD Podgorica, EPCG Solar Gradnja LLC Nikšić, and EPCG - Željezara Nikšić LLC.
The growth in the number of companies over the years must also be considered.
BIRN researchers highlight that the workforce in the electrical sector has grown significantly, from fewer than 2,600 employees in 2018 to over 3,800 by 2023. This increase includes Željezara, which EPCG acquired, and the newly established Solar Construction.
The Report also notes that in sectors such as state administration, defense, and mandatory social insurance, the number of employees in 2022 had risen by more than 20 percent compared to 2010.
Diverse Data on Employee Numbers
Mrdović emphasizes that the burdensome public administration is a significant financial cost, not only through wages but also due to a range of additional benefits provided to public sector employees, including cars, fuel, phones, daily allowances, bonuses, workgroup payments, commissions, and more.
Interestingly, the Ministry of Justice's Report reveals that during the final three months of Predrag Bošković's mandate, there was a sudden spike in the number of employees in the Ministry of Defense (MO) and the Army of Montenegro (VCG). From August 31, 2020, when the DPS lost power, until November 30, 2020, before Bošković left office, 186 new hires were made. As of March 2024, the Ministry of Justice data show that VCG has 1,920 employees.
CIN-CG's research also revealed discrepancies between the employee numbers reported by the Ministry of Internal Affairs (MJU) and the Tax Administration (TA). For 2020, there was a gap of approximately six thousand employees between the figures from the Public Administration (PU) and MJU.
A similar disagreement occurred in 2021. Official data from the Ministry of Education and Culture reported that there were nearly 45,000 employees at the state level and over 6,500 at the local level in November 2021. However, PU data showed significantly higher numbers, with the Tax Administration reporting just over 50,000 at the state level and slightly over 6,000 at the local level.
The MJU website does not have data for 2022. The 2023 data also differ significantly, showing discrepancies of nearly 5,000 employees at the state level and about 400 at the local level.
On the MJU website, it states, "This scope does not include companies majority-owned by the state and municipalities." Similarly, in a response to CIN-CG, the PU clarified that these numbers do not account for state-owned or locally owned companies.
In response to these discrepancies, CIN-CG contacted the Ministry of Justice, which referred us to the Ministry of Finance (MoF), but no answers were received by the time of publication.
The PU informed CIN-CG that the data they provide are registration-based and represent figures for the entire year, suggesting that comparing monthly data with annual data might explain some inconsistencies.
Experts interviewed by CIN-CG suggest that PU tracks all payments, including those based on work contracts, which could contribute to the discrepancies in the reported figures.
Optimization Plan: A Mere Formality
Muk explains that efforts to reduce and align the number of employees with the actual needs of the public sector—referred to as "optimization"—have disappeared from the Government's reform plans, including the recently presented Fiscal Strategy Draft. This comes despite a decision made during the last DPS government to reduce public administration staffing levels significantly.
The Plan for the Optimization of Public Administration in Montenegro 2018-2020 set a target of reducing the number of employees by 3%—or 1,179 employees—by the end of 2018. However, instead of streamlining, the administration has only expanded.
"The Government's approach to the public sector is fragmented, with the rules scattered across various sectors. Data management and accountability are lacking, even where clear rules and penalties for monitoring wages and employees exist," Muk emphasizes.
It is difficult to determine the actual number of employees in public administration accurately. Muk points out that records are often not kept for individuals hired on work contracts or temporary jobs and stresses the need for more transparent contracting practices, with clear plans and justifiable needs.
The EU is also calling for greater transparency in this area. According to the European Commission's 2023 report on Montenegro, the Parliament adopted amendments to the Law on Local Self-Government to align it with the Law on Civil Servants and State Employees, despite the Commission's recommendation.
"Relaxed conditions remain a major concern for ensuring employment based on merit, expertise, and the independence of civil servants. Ongoing personnel changes in the public administration have resulted in a loss of crucial knowledge on EU accession issues and a general slowdown in reform progress," the report states.
Although all post-August 30 governments have highlighted the acceleration of European integration as a key goal, none have yet implemented the Brussels recommendations regarding public administration and employment practices.
The ruling parties have divided the spoils of power and appointed their people to most public companies, where the number of employees is growing at an alarming rate. Even managers who generate losses are handsomely rewarded. Most companies operate without transparency, while the new leadership directs generous donations to the Serbian Orthodox Church.
Predrag Nikolić
Montenegro has 178 public companies—123 municipal and 55 state-owned. These companies employ over 22,000 people, 8,403 of whom work in municipal enterprises and 13,702 in state-owned ones.
Of the 55 state-owned enterprises, the majority, 39, operated profitably in 2023, generating a combined profit of €146 million. However, a significant portion of this amount is attributed to the strong performance of the Electric Power Company of Montenegro (EPCG) and its affiliated companies. In contrast, 15 state-owned enterprises reported losses, totaling €22.8 million.
The Institute Alternative collects and regularly updates this data through its My Money platform.
The highest salary among state-owned enterprise officials is earned by Milutin Đukanović, a senior official of the New Serbian Democracy (NSD) and President of the EPCG Board of Directors, who receives €4,611 monthly. He is followed by Boris Raonić, director of the public broadcaster RTCG, with an average monthly salary of €3,966 in the past year. Although RTCG is funded from the state budget, it is not among the loss-making companies. Raonić's salary—despite his appointment being ruled unlawful by the courts—was later reduced to €3,400 following public backlash and was maintained after his reappointment.
Another NSD official, Igor Čađenović, is the director of the state-owned company Plantaže 13. jul also ranks among the highest-paid. Despite the company recording a loss of over €6 million in 2023—the largest among state enterprises—Čađenović earned an average monthly salary of €3,961. His asset declarations show that his income was even higher in some months; in September 2023, for example, he reported earnings of €4,145.
BLACK LIST
Plantaže 13. jul, once a successful and well-known Montenegrin enterprise, was driven to the brink of collapse under the long-standing administration of the Democratic Party of Socialists (DPS), led by Veselin Vukotić and Verica Maraš. In September of this year, the Higher Court in Podgorica confirmed the indictment filed by the Special State Prosecutor's Office against Vukotić and Maraš on suspicion of committing the criminal offense of abuse of office in business operations. Following the political changes in 2020, efforts to restructure and stabilize this once-prominent brand and major exporter began.
In 2021, the company faced a debt of €20 million. In October of that year, Dr. Zoran Miladinović was appointed executive director of Plantaže. By the time he resigned in November 2022, the debt had been reduced to €13 million. Following his departure, Igor Čađenović took over the position and managed to reduce last year's deficit, which stood at €6 million. Despite ongoing losses, the company increased its workforce in 2023 by 14 employees, bringing the total number to 637.
Economist Igor Čađenović, who was previously Director of Marketing and Sales at Plantaže, signed the resignation of former director Miladinović at the beginning of this year. Additionally, Alternative Montenegro filed a criminal complaint against Čađenović due to a well-founded suspicion that he forged a diploma.
The second-largest loss among state-owned companies is Željezara Nikšić, which was registered as a company in February 2023 and is fully owned by EPCG. The company reported a loss of €3.5 million last year and employs 252 people. The executive director, Nevenka Janković, has no publicly available property record, making her earnings as executive director unclear. Janković, appointed to the position at the end of last year, is entitled to a monthly salary of €2,000, with potential increases for prior work experience, and boasts 21 years of experience in this company. After Željezara was leased to the Swiss company 8B Capital SA at the end of September, traffic engineer Miloš Nikolić was appointed acting executive director.
The Dr. Simo Milošević Institute ranks third on the list of losses, reporting a deficit of €2.8 million. The number of employees has decreased from 642 in 2002 to 573 in 2023. Similarly, the company's debt has been reduced, from €8 million in 2019 to €2.8 million last year.
At the end of last year, Dr. Zoran Kovačević, a professor at the Maritime Faculty in Kotor, was appointed executive director of the Institute. He previously held the same position from 2012 to 2015, and later served as a councilor and President of the DPS Councilors' Club in the Assembly of Herceg Novi. Information regarding his salary is not publicly available, nor is the compensation paid to Predrag Dragojlović from Belgrade, who became President of the Institute's Board of Directors in January of this year, representing the Investment and Development Fund of Montenegro (IRF). However, it is known that the compensation for members of the Board of Directors amounts to €417.
At the end of September, a celebration was held at the Nikšić Theater to mark the third anniversary of Solar Construction (Solar gradnja), a subsidiary of EPCG.
"Solar Construction is a company with a promising future, one of the few state-owned enterprises that is genuinely operational, profitable, and of immeasurable importance for the development of Montenegro's energy sector," Milutin Đukanović, President of the Board of Directors of the Electric Power Company, said.
In addition to its marketing efforts, the company concluded last year with a loss of €2.7 million, compared to a €2.2 million loss in 2022 and a loss of €55,202 in 2021, the year of its establishment. The number of employees has also grown significantly, starting with just one employee in 2021, increasing to 319 in 2022, and reaching 420 last year. In a statement made in August, the dismissed executive director, Valerija Savić, confirmed that salaries within the company are above average:
"The average monthly wage expenditure at EPCG SG during my tenure as its head was approximately €480,000."
Saveljić, a member of the URA, has served as the executive director of Solar Construction since November last year, with a salary of €3,371.
After her dismissal in August, Minister Saša Mujović stated that the Board of Directors of EPCG Solar Construction had removed her without justifying, calling it a "politically motivated dismissal."
However, this week, Mujović offered a different perspective on her performance. The minister explained that Saveljić had falsified business results: "Despite having access to the information, the ministry was not informed that it had received a negative internal audit report. This report revealed that some invoices, which had been shown to produce a profit of over €600,000, were deemed unacceptable and uncollectible by internal audit. Saveljić presented these results to the ministry as being highly positive, but the reality is that she left the company with a debt of €346,000."
Saveljić denied these allegations, asserting that she was performing well and accusing NSD officials Milutin Đukanović and Marina Jočić of using Mujović's statements as a cover for their actions.
In March of this year, the Board of Directors of EPCG appointed a new board for its subsidiary, Solar Gradnja. The board is chaired by Marina Jočić, a member of the New Serbian Democracy, with Miroslav Doderović (Democrats), Ahmet Đonbaljaj (Albanian Alternative), Veljko Vasiljević, Zoran Čolaković (Democratic People's Party), Neđeljko Lekić, and Igor Vlahović serving as board members.
Marina Jočić, the President of the Board, is a longtime Mandić party official. Following the change of Government on August 30, 2020, she took on leadership roles in several public companies across various sectors, including nature protection, culture, and energy production. For instance, she served as the President of the Board of Directors of National Parks and PI Museums and Galleries in Podgorica and is currently leading EPCG Solar Construction.
Jočić is not the only member of her family employed at Solar Construction. Her daughter, Iva Čukić Šoškić, was the head of the PR department until she was dismissed by Saveljić, who claimed the dismissal was due to non-compliance with work obligations. Following her dismissal, Čukić Šoškić was reassigned to a lower position.
Before her dismissal, Saveljić also terminated the business and technical cooperation agreement with Kaldera, a company linked to Republika Srpska President Milorad Dodik, also on the U.S. sanctions list.
Montenegro's railway infrastructure reported a loss of €2.5 million last year. The number of employees increased from 779 in 2022 to 817 during the year. Marina Bošković, who was appointed executive director in March 2021, receives a salary of €1,700. Bošković is the cousin of Milan Knežević, the leader of the Democratic People's Party (DNP).
Jelena Kljajević, appointed President of the board of directors of this company by the Government in March, is affiliated with the same party. Kljajević previously served as the President of the Democratic People's Party's Municipal Committee in Bijelo Polje and as the director of National Parks. She was dismissed from that position at the end of 2021. According to the Government's explanation, her dismissal was due to a negative assessment of the legality of her actions and business results, and the blocking of the company's account due to questionable operations. Despite this, she continued to advance in her career and hold state positions.
Kljajević receives a € 598 bonus for chairing the Board of Directors at Railway Infrastructure and an additional €1,000 for her work at the state-owned company Budvanska Rivijera.
Another railway company on the list of losses is Maintenance of Railway Rolling Stock JSC Podgorica, which employs 189 people and has been incurring increasing losses year after year—€500,000 in 2021, €873,000 in 2022, and €908,000 last year.
At the end of February this year, Goran Đurković was appointed executive director, earning a salary of €1,386. His predecessor, Dragana Lukšić, was appointed assistant minister of transport for railway transport.
The Government also recently appointed a predominantly party-affiliated Board of Directors for this company, including Predrag Burzanović (NSD), Tom Đonaj (AA), Bojan Babić (Workers' Party), Radovan Mujović as an expert, and Igor Racković representing minority shareholders.
The chairman of the Board, Predrag Burzanović, receives compensation of €632. He is the principal of the "Marko Miljanov" elementary school, a physical education professor, and holds a master's degree in political science and international relations. Burzanović first gained public attention in early 2022 for insulting MP Draginja Vuksanović, later claiming to have "repented in a way" after the backlash.
Montecargo JSC Podgorica, which specializes in cargo transport for both international and domestic rail, also faces financial struggles. With 321 employees, the company posted a loss of €10 million in 2022, which was reduced to €602,000 in 2023. Executive director Dušanka Dragojević receives a salary of €1,783, while the chairman of the Board, Miroslav Brajović, is compensated €789. Brajović, an NSD official, not only chairs Montecargo but also serves as an advisor to the director of Railway Transport of Montenegro.
The Innovation Fund of Montenegro, which operated with a positive zero last year, is no longer on the list of state-owned enterprise losers. Founded by the Government in June 2021, its mission is to foster collaboration between the scientific and economic sectors. With only eight employees, the Fund incurred a €20,000 loss in its founding year, reducing the deficit to just €1 in 2022.
The Fund's Executive Director is Bojana Femić Radosavović, earning €1,679 per month. The President of the Board, Vasilije Čarapić, a senior official of the Europe Now Movement, receives compensation of €712. According to Čarapić's property record from March of this year, as a counselor in the Assembly of the Capital, he also received a monthly allowance of €150 to €200, and a parliamentary salary of €1,629. This year, his salary in the Assembly increased to €2,000.
WHITE LIST
Out of the total €146.8 million in state-owned enterprise revenues last year, more than €104 million came from the operations of Elektroprivreda and its affiliated companies — including €52 million from EPCG, €35.7 million from the Electric Transmission System of Montenegro, €15 million from the Pljevlja Coal Mine, and €2 million from the Montenegrin Electric Distribution System (CEDIS).
In February of this year, Ivan Bulatović was appointed Executive Director of EPCG. While his exact salary has not yet been disclosed, his employment contract stipulates that he is entitled to a wage three times the company's average. He succeeded Nikola Rovčanin, a member of the Main Board of the Democrats, whose monthly salary was €3,741. Bulatović has been part of the system for a considerable time, having served as the Director of CEDIS since 2016.
Compared to 2020, when EPCG had 961 employees, the number rose to 1,124 last year, an increase of 15 percent. The company's business performance tends to fluctuate and is often influenced by external factors beyond its control, such as international energy prices, weather conditions, and similar variables.
In 2020, while the DPS still controlled state-owned land and enterprises, EPCG recorded a net profit of €16 million. After the change in Government in 2021, profits rose to €47.5 million. However, in 2022, it dropped significantly to €3.9 million. Last year, EPCG achieved a record net profit of €52 million.
The net business results of the Pljevlja Coal Mine have also shown fluctuations — €13 million in 2020, dropping to €4.4 million in 2021, then rising to €9.4 million in 2022, and reaching €15 million last year. The number of employees also increased, from 691 in 2020 to 1,168 in 2023 — almost 50 percent.
Milan Lekić, head of Pljevlja's branch of New Serbian Democracy (NSD), served as the company's Executive Director, earning a monthly salary of €3,295. He later became President of the Board of Directors of Pljevlja's largest company, a position he held until recently.
Since the beginning of last year, the Montenegrin Prosecutor's Office has been investigating allegations that former Coal Mine Director Milan Lekić signed a damaging contract with Electric Power Company of Srbija in May 2022, allegedly selling coal at prices significantly below market value.
In October last year, Milan Lekić was involved in a traffic accident while driving an official vehicle under the influence of alcohol, not for the first time. Following the incident, he resigned.
Much like the situation in the energy sector, the new ruling majority has extended its influence over other state-owned enterprises by appointing its people.
In March of this year, the Government appointed Aleksandar Dožić, a Democratic People's Party official, President of the Monteput Board of Directors. He receives a monthly salary of €1,850.
The national airline company To Montenegro, founded in 2021, has a President of the Board of Directors named Tihomir Dragaš. He is a member of the Presidency of the Europe Now Movement (PES). His salary has not been disclosed.
Mladen Mikijelj, elected President of the Municipal Board of NSD Budva in May this year, currently leads the Public Enterprise for the Management of Marine Assets (Morsko dobro). He receives a salary of €3,200. In the year he assumed the role, the company recorded a modest net profit of €29,000, but last year that figure rose sharply to a €2.3 million surplus. Between 2022 and 2023, the number of employees grew by 42, bringing the total to 102.
Vladimir Čađenović, a member of the Democrats' presidency, was appointed President of the Board of Directors of CEDIS in March of this year. He had previously served as the company's Executive Director, during which time his salary exceeded €3,000. Although his current compensation is unknown, under his leadership, CEDIS — a company majority-owned by EPCG — reduced its losses from €11.7 million in 2022 to a €400,000 profit last year. At the same time, the number of employees rose by about 20 percent, from 1,428 in 2021 to 1,721 in 2023.
Jovica Gregović, head of the Budva branch of the Democratic People's Party (DNP), has served as Executive Director of the Hotel Group Budvanska Riviera since July 2021. Mijomir Pejović, President of the Municipal Board of the Democrats in Budva, holds the position of President of the Board of Directors of the same company. Gregović earns a salary of €3,784, while Pejović receives €3,164. After recording a loss of more than €9 million in 2020, the company ended last year with a profit of €1.9 million. The workforce also grew from 412 employees in 2022 to 595 in 2023.
Zoran Lakušić, a DNP official, is President of the Board of Directors of the Regional Water Supply Company for the Montenegrin Coast, with a salary of €3,471, higher than that of Executive Director Borislav Ivković, who earns €3,094.
In March of this year, Dušan Masoničić, a member of the Democrats, was unanimously elected President of the Board of Directors of Luka Bar. His party colleague, Nikola Plamenac, is Executive Director of "Sveti Stefan Hotels," which owns the city hotel Sveti Stefan and Villa Miločer. The President of the Board of Directors is Milica Kažanegra, a member of the Socialist People's Party (SPP).
Đuro Milošević, affiliated with the SPP, is the Executive Director of Ski Resorts of Montenegro. After ending 2021 with a loss of €200,000, the company operated at a profit of the same amount in 2023.
Slađana Adžić Džaković, a Democrat councilor from Plužine, was appointed President of the Montenegro Bonus Board of Directors.
The Montenegrin Electricity Market Operator in Podgorica has been aligned with the Bosniak Party. The Executive Director is Mersudin Gredić, a member of the party's presidency, while his colleague Nermin Škretović from Bar serves as President of the Board of Directors.
In March of this year, the Shareholders' Assembly appointed several new members to the Board of Directors of Railway Transport of Montenegro (ŽPCG): Tripko Draganić (NSD), Željko Miladinović (DPP), Dejan Konatar (Democrats), Pavlo Popović (expert member), and Marko Bertanjolik (minority shareholder). Draganić, notably, holds a PhD in religious tourism—the first in the region—and is also a published poet and cultural advocate. He co-founded the Institute for Serbian Culture in Nikšić and NGOs such as "Vladika Sava Kosanović" and "Nikola Tesla."
The post of Montenegro illustrates another example of the intertwining of party and public functions. Dragan Tufegdžić, former Executive Director of the Post and President of the Democrats' Bar Municipal Committee, resigned from party positions in June 2023 but remained a member. His successor in both roles is Josip Đurašković, also from Bar. Earlier this year, Tufegdžić was appointed Montenegro's ambassador to Slovenia.
The current President of the Board of Directors of the Post of Montenegro is SPP member Igor Bulatović. The company's employees grew from 988 in 2020 to 1,189 in 2023. Financially, the company posted a net profit of €842,000 in 2020, which dropped to just €126,000 last year.
Donations Primarily Directed Towards Sports and the Serbian Orthodox Church
Although state-owned enterprises are required to transparently disclose information about their sponsorships, donations, and gifts, only a few do so consistently.
One of the exceptions is Marine Assets (Morsko Dobro), which allocates significant sums for donations each year and ensures transparency in its reporting. In 2023, this company allocated €273,000 in donations, with the most going to sports clubs. FC Petrovac received €40,000, while YFC Grbalj and the Water Polo and Swimming Association of Montenegro each received €20,000. Additionally, €10,000 was donated to FC Otrant and the Volleyball Association of Montenegro. The same amount was given to the Monastery of St. Archangel Michael on Prevlaka. At the same time, the Eparchy of Budimlja and Nikšić received €3,000, the Monastery in Kosierevo €2,500, and the Franciscan Monastery in Petrovac €7,967.
Donations for 2023 are not publicly available on CEDIS's website. However, in 2022, the company allocated €187,000 in donations. The most considerable sums — €30,000 — went to the Water Polo and Swimming Association, followed by €25,000 for the Clinical Center of Montenegro (KCCG) and €10,000 to the Faculty of Electrical Engineering. CEDIS also donated to religious buildings affiliated with the Serbian Orthodox Church (SOC). These included €1,500 to the Duga-Bioče Monastery, €4,990 to the Duljevo Monastery, €2,500 to the Ćelija Piperska Monastery, €1,000 to the Apostolic Vicariate of Herzegovina, €1,000 to the Church Board of St. Nicholas, €700 to the Church Board of Vaso's Church Nožica, and €4,000 to the Montenegrin Coastal Metropolia.
Other state-owned enterprises have similarly directed their sponsorships primarily to religious buildings of the Serbian Orthodox Church and organizations associated with the community. Last year, the Regional Water Supply allocated €11,280 in donations, ranging from €100 to €300. Individual recipients included the Dujevo Monastery, St. George's Monastery, Kolašin Parish, and the St. Michael's Choir in Budva, each receiving €200.
A similar practice is followed by Ski Resorts of Montenegro, where donations ranging from €100 to €300 totaled €12,000 in 2022. Among the recipients was the Brotherhood of Orthodox Youth "Sveti Dimitrije," which received €300.
The Radio Diffusion Center (RDC) allocated €12,200 for sponsorships in 2023, supporting school associations, schools, and non-governmental organizations with donations ranging from €100 to €400. The largest individual donation of €850 went to the Eparchy of Budimlja and Nikšić — the Church Board in Župa Nikšićka, followed by €450 for the Construction Committee for the Serbian Orthodox Church.
The Innovation and Entrepreneurship Center "Tehnopolis" LLC, Nikšić, distributed €2,330 in donations in the past year. The Nikšić Theater received the largest donation of €500, while the NGO Charitable Foundation of the Metropolis of Montenegro and Littoral received €300.
Despite being a protected area, the effectiveness of protection in 'Rijeka Zeta' is undermined by inadequate legal frameworks and poor implementation. Additionally, waste in the region poses a threat to public health.
Tijana Lekić
Wildlandfills in the "Rijeka Zeta" Nature Park contain various waste—tires, construction debris, dead animals, food scraps, textiles, car parts, and furniture. There seems to be no limit to what ends up in these illegal dumpsites.
This protected area spans 120 square kilometers and covers parts of both the Podgorica and Danilovgrad municipalities. The Podgorica section, which covers 26 square kilometers, is managed by the Agency for Management of Protected Areas of Podgorica (AUZP), while the remainder of the park falls within Danilovgrad.
The largest landfill, covering an area of one square kilometer, is located in Mareza, alongside the highway near the "Imanje Knjaz" restaurant, just outside Podgorica. This massive dump is a severe threat to the local ecosystem and public health.
According to staff from the AUZP Protection Service, the rangers responsible for monitoring the Podgorica section of the park, the large landfill in Mareza is flooded with the first rains, causing the waste to spread across the flooded area.
Illegal landfills attract pests like mice, flies, and rats, which can spread infectious diseases. They also contaminate the soil and groundwater, as the waste often contains heavy metals and other hazardous substances.
A few months after the park was established, in early 2020, AUZP encountered a problem with unclear jurisdiction regarding the illegal dumping of waste, particularly between the Podgorica Communal Police and the Environmental Inspection.
AUZP informed the Center for Investigative Journalism of Montenegro (CIN-CG) that the Environmental Inspection considers itself responsible only for hazardous waste. At the same time, according to the Inspection, the Podgorica Municipal Police is tasked with managing other types of garbage.
However, the Communal Police assert that the Environmental Inspection is responsible for all types of waste in protected areas under the Nature Protection Act.
"Regarding protected areas, the rangers are responsible for monitoring the terrain. If they detect any issues, they report them to the Directorate for Inspection Affairs so that the necessary procedures can be initiated," the Podgorica Communal Police told CIN-CG. However, they did not answer questions about potential legal gaps that might limit their effectiveness.
An even more pressing issue is that the Law on Waste Management does not address private land, meaning the Podgorica service "Čistoća" is not obligated to remove waste from private properties.
"We only remove waste upon request from private landowners," the "Čistoća" service said in a statement to CIN-CG.
Thanks to field data provided by the rangers, AUZP's professional service has created a comprehensive database detailing the locations and types of waste.
"Čistoća has removed all landfills located on state-owned plots identified by the rangers during their daily patrols, but these sites are often re-established," AUZP reported.
Many illegal landfills in the "Rijeka Zeta" Nature Park have existed for years, likely even before the area was designated a protected zone, and they continue to proliferate despite the designation. People responsible for improper waste disposal often dump at night, a pattern confirmed by AUZP.
"The fines imposed are insufficient for the severity of the offense. According to information from the Municipal Police, the fine for the improper disposal of waste by trucks is only 20 euros," AUZP told CIN-CG.
Under the Decision on Communal Order, the owner of a private plot within a protected area is responsible for maintaining their property. If they fail, the inspector or ranger visits the site, records the condition in a report, and instructs the property owner to clean up their yard.
"The fine for a natural person ranges from 20 to 1,000 euros," the Podgorica Communal Police stated.
EU countries enforce much stricter regulations. In Italy, fines for illegal waste dumping range from 300 to 3,000 euros, with penalties increasing to 1,000 to 10,000 euros as of October 2023. In cases involving hazardous waste, the fine can rise to 20,000 euros. The Italian Code of the Cultural and Landscape Heritage holds the individual who dumps the waste responsible, and the landowner where the waste is found.
"Since 2020, no criminal cases have been filed for the offense of polluting the environment with waste," the Basic Court in Podgorica reported to CIN-CG.
Montenegro's Criminal Code prescribes prison sentences ranging from three months to eight years for those who, through waste management activities, endanger human life, health, or the environment. If the offense was committed negligently, penalties range from fines to five years in prison, and if the offense results in serious injury, health damage, or death, the sentence can be between two and twelve years.
AUZP informed CIN-CG that three months ago, representatives from relevant institutions, companies, and inspections responsible for waste management met in Podgorica. The meeting concluded with a decision to invite plot owners with wild landfills to a meeting in the capital.
"The Property Directorate of Podgorica has been tasked with identifying the owners of these landfills using the AUZP's database and inviting them to a meeting in Podgorica. Some owners may not be aware of the condition of their properties," AUZP explained.
At the meeting, owners will be informed that the landfills will be removed, but if the waste is disposed of again, they will be held accountable, and legal action will be taken.
It is common for people to set fire to waste in these illegal dumps, posing significant risks to the health of nearby residents. When waste burns, harmful substances such as dioxins are released into the air, contaminating the air, water, and soil.
According to rangers interviewed by CIN-CG, land near the largest landfill is being exploited. "We caught people stealing land from the area and then selling it."
The question remains where this land goes, what it is used for, and what health risks it may pose.
One of the five main objectives of the Green Agenda for the Western Balkans, which Montenegro signed in 2020, is reducing air, water, and soil pollution. In April 2024, the Law on Waste Management was adopted, but it does not detail the issue of landfills on private properties in protected areas.
Recently, a group of NGOs proposed implementing the digitalization of inspection services and applications as part of reorganizing the Directorate for Inspection Affairs. This could improve transparency, combat corruption, and increase service efficiency.
Construction First, Consequences Later: The Cost of Unplanned Development
A woman sits in front of her house, reading a newspaper, while excavators and backhoes work beside a high concrete fence, laying foundations for new construction. In Velje Brdo, within the protected "Rijeka Zeta" Nature Park, an entire new settlement is emerging—just one of many construction sites in the area.
For this investigation, a CIN-CG journalist visited the Podgorica section of the "Rijeka Zeta" Nature Park with AUZP rangers and observed seven newly constructed illegal buildings in Velje Brdo alone. Foundations, concrete slabs, and load-bearing walls were visible at some sites. While many buildings were unfinished, some had notices from the Environmental Inspection prohibiting construction, with a few also receiving construction bans from the Building Inspection.
However, these warnings were often ignored. Some construction continues in the park's third protection zone, while others are being built in the second zone, where only temporary structures are permitted by law.
None of these buildings had been demolished. At one site under construction for months, workers continued digging freely in front of the CIN-CG team despite the owner's lack of approval from the Environmental Protection Agency (EPA) at the time. CIN-CG later learned that the EPA approval was obtained the day after the visit.
Such cases highlight a common issue in Montenegro—construction begins without permits, and the licenses are sought afterward, resulting in the eventual legalization of many structures.
The rangers explain that those building in the protected area were initially afraid of the Podgorica Protected Areas Management Agency's enforcement efforts. However, as time passed and no serious sanctions were imposed, more people began building without concern. "The inspection comes, issues a report, and then construction continues," the rangers explain.
Conditional Penalties for Illegal Construction: A Threat to the Environment
In recent months, rangers have submitted 11 requests to the Environmental Inspection and eight to the Building Inspection regarding illegal construction in the "Rijeka Zeta" Nature Park.
The Urban and Construction Inspection, part of the Ministry of Spatial Planning, Urbanism, and State Property (MDUP), oversees illegal buildings under the Law on Spatial Planning and Construction of Buildings. Meanwhile, the Environmental Inspection monitors protected areas under the Law on Environmental Protection.
"Regarding illegal construction, since 2020, 14 decisions have been made to halt further activities, six requests for misdemeanor proceedings have been filed, and one criminal report has been submitted," the Environmental Inspection told CIN-CG.
They also highlighted a legal paradox: the current Law on Nature Protection does not impose misdemeanor liability on individuals engaging in unauthorized activities in protected areas, even though such provisions should exist. "We believe that penalties should be enforced through other regulations, such as spatial planning documents," the Environmental Inspection added.
As of the publication of this article, CIN-CG had not received responses to the numerous questions sent to the Urban Planning and Construction Inspection.
The Basic Court in Podgorica informed CIN-CG that from 2020 to the present, 35 verdicts and 29 judgments were issued for the criminal offense of building without proper registration or construction documentation across the capital. All of the sentences in these cases were conditional, except for one involving a repeat offense, resulting in three months of house arrest, despite the crime being punishable by six to five years in prison.
Of the 29 cases, only two plots were involved within the "Rijeka Zeta" Nature Park in the Velje Brdo area, and both resulted in conditional sentences.
The Podgorica Basic Court also reported that since 2020, no cases have been filed for the criminal offense of illegal construction, commissioning, or operation of facilities that pollute the environment, and no final judgments have been made for this offense—penalties for this crime range from six months to 12 years in prison.
In Italy, Illegal Construction Can Lead to the Seizure of Property
In European Union countries, such as Italy, the legal representative of a protected natural area—like Montenegro's AUZP—has the authority to immediately suspend construction and mandate the restoration of the area to its original state. Those who authorized the illegal construction and the companies involved are legally required to cover all costs associated with rehabilitating the damaged area. If they fail to do so, the municipality has the right to seize the property.
Montenegro still has a long way to go, aligning its practices with those of the EU and enforcing its own laws, which are often disregarded. As a result, protected areas and public health remain compromised, with little accountability for those responsible.
Rampant Bird Poaching Threatens Wildlife in Montenegro
Poaching is a major contributor to the degradation of the "Rijeka Zeta" Nature Park, with birds being the primary target.
While hunting is permitted on Sundays, illegal practices occur throughout the week. Poachers use decoys, such as speakers, MP3 players, and batteries, expressly prohibited devices. At night, the sounds of quails' calls, amplified by these devices, can be heard for kilometers. The quails are drawn to the sound, landing to rest and feed, only to be ambushed by poachers at dawn.
The Montenegrin Law on Game and Hunting explicitly forbids the use of decoys, recognizing that they lead to the mass killing of wildlife. Rangers told CIN-CG, "Given the number of spent cartridges found in the dugouts, it's clear that the birds were lured there in advance."
Montenegro is home to 352 bird species, representing 65% of Europe's total biodiversity, which includes 533 species. The "Rijeka Zeta" Nature Park is rich in plant and animal species, many of which are protected under EU Natura 2000 laws.
Fish poaching has been less prevalent in the Podgorica section of the park, but rangers still encounter hidden boats. They caution that fish caught in the area should not be consumed due to pollution.
Under Đukanović's tenure, Branimir Martinović's company emerged as the leading pharmaceutical distributor. In the decades that followed, it reached a turnover of hundreds of millions, yet it continues to maintain a monopoly, effectively rendering public tenders in this sector meaningless
Predrag NIKOLIĆ
Currently, 906 branded medicines are listed under the basic, supplementary, and special regime categories, all funded by the Republic Health Fund (FZO). Of these, 92 percent are represented or exclusively distributed by Glosarij, a company owned by Branimir Martinović, along with its subsidiaries Glosarij CD and Medica. Another 7.5 percent is represented by Farmerga, a company owned by the German group Fenix, while a few smaller Montenegrin pharmaceutical companies distribute the remaining 0.5 percent.
"This effectively means that for 92 percent of these medicines listed in public procurement tenders, the supplier is predetermined, as they are the authorized agent and distributor-in this case, Glosarij and its subsidiaries," wrote Goran Marinović, former director of Montefarm, in a letter to relevant institutions. "The same applies to Farmerga and the other few players involved. This situation makes public tenders meaningless, as the outcome is known in advance."
Marinović proposed that this issue be addressed through amendments to the new Law on Health Care, suggesting that Montefarm or the FZO take over at least part of the procurement responsibilities to ensure greater transparency and competition.
Instead of responding with a plan to dismantle the decades-long monopoly of a private company over the pharmaceutical market, which continues to grow and now exceeds €100 million annually, the Government dismissed Goran Marinović. The Minister of Health, Dr. Vojislav Šimun of the Europe Now Movement (PES), even announced plans to file a criminal complaint against Marinović for alleged misconduct.
Marinović told the Center for Investigative Journalism of Montenegro (CIN-CG) that his dismissal was politically motivated. During the rule of the Democratic Party of Socialists (DPS), the opposition repeatedly accused Glosarij of enjoying a privileged status. It claimed that the company was one of the key financial backers of Milo Đukanović's party.
Following the change of Government in 2020, Nebojša Medojević, president of the Movement for Change (PZP), accused Milojko Spajić, then Minister of Finance in the 42nd Government, of making an illegal deal with Glosarij. He later alleged that the company was also a financier of the Europe Now Movement (PES) election campaign.
In February 2023, just before officially retiring from Government and at the start of the presidential election race, Spajić launched his campaign from the City Tavern (Gradska kafana) in Cetinje—a venue owned by Branimir Martinović.
DOMINATION
Following the change of Government, Glosarij not only retained the monopoly it held during the rule of the Democratic Party of Socialists (DPS), but its profits also surged significantly. The company was recognized as the fastest-growing business in Montenegro for two consecutive years, in 2021 and 2022.
Over the past three years, Glosarij recorded total revenues exceeding €340 million, €99.9 million in 2021, €112.8 million in 2022, and €128.3 million in 2023. The company posted a net profit of over €5 million each year, totaling more than €16 million across the three years.
The Center for Investigative Journalism of Montenegro (CIN-CG) has obtained documentation indicating the existence of a systemically legalized monopoly in the pharmaceutical procurement system.
In 2023, Montefarm's medicine procurement budget was €99.1 million, of which 83.15 percent was awarded to Glosarij. After a mid-year budget revision raised the amount to €115.4 million, Glosarij still captured 71.38 percent of the total, amounting to €82.4 million. The company also held the dominant share in Montefarm's procurement budget in the previous two years.
According to Article 14 of Montenegro's Law on the Protection of Competition, a market participant is presumed to hold a dominant position if its market share exceeds 50 percent. Furthermore, the law states that two or more participants are supposed to hold a collective dominant position if they control more than 60 percent of the market and face no significant competition.
Such a market structure—particularly in the critical area of pharmaceutical procurement—is considered highly problematic by European Union standards. Under EU law and practice, monopolies in healthcare procurement pose a serious threat to public finances and the integrity of the health system. Yet, Montenegrin authorities, including the Agency for the Protection of Competition, have not taken adequate steps to address the issue.
According to CIN-CG sources, foreign experts, the World Bank, and other international institutions have raised concerns about this monopoly, warning of its risks regarding potential corruption and the absence of genuine competition.
Despite holding an overwhelming monopoly in the pharmaceutical market, Glosarij did not operate alone. Through its affiliated companies—Glosarij CD and Medica—it exercised what the law defines as collective dominance. In the past year alone, Glosarij CD received €13.6 million from the public budget for medicine procurement, and Medica received €6.4 million. Combined with Glosarij's share, the total reached €102.5 million, accounting for a staggering 88.8 percent of the overall budget for medicine procurement in 2023.
This concentration has been consistent in recent years: in 2022, these three companies controlled 76.68 percent of the procurement budget, and in 2021, 76.30 percent.
Another major player, Farmerga, held a smaller yet significant share. 2023 it received €19.9 million, or 17.29 percent of the budget. In 2022, the company's share was 17.17 percent (€13.1 million); in 2021, €14.6 million, making up 18.67 percent of the total medicine procurement funds.
Remarkably, due to a mid-year budget rebalancing, the final disbursements exceeded the original allocation. As a result, private companies collectively withdrew 106 percent of the initial state budget for medicine procurement in 2023, a figure enabled by the reallocation of public funds.
Montefarm's Import Practices: No Imports Unless It's a Crisis
The state-owned company Montefarm has been excluded from these substantial transactions for nearly a decade.
"Montefarm has not imported any medicines in the last seven or eight years, except for occasional emergency purchases when stocks run low. For these purchases, approval must come from the Ministry of Health," Goran Marinović explained to CIN-CG.
"This is a critical moment to implement simple legal solutions that would prevent this practice, curbing unnecessary spending and, ultimately, the enrichment of private individuals. Until this issue is addressed, it doesn't matter who organizes the public procurement process—the outcome of every tender is already predetermined," Marinović stated in a letter to relevant institutions in October last year.
Marinović proposes that the law be amended to allow Montefarm, a state-owned entity, to purchase medicines directly from manufacturers. This way, the state could capture rebates or hidden discounts typically provided to distributors, which often account for around 30 percent of the total turnover. It is estimated that such a reform could save between €28 and €30 million annually on medicines listed for public procurement.
This document highlights that the current Montenegrin pharmaceutical market exhibits characteristics that are uncommon not only in the region but across Europe, stemming from decades of state privatization.
This situation's origins date back to 1991, when the Montenegrin Assembly established the state-owned institution Montefarm, tasked with supplying medicines and medical supplies to the population and health institutions.
1992 Glosarij, Montenegro's first private wholesale drug distributor, was founded in Cetinje. While numerous pharmaceutical companies failed throughout the 1990s, Glosarij thrived and significantly expanded in the new millennium.
The groundwork for the company's monopoly position began in the late 1990s.
"All ministers of health and directors of the Health Fund receive monthly bribes in cash from the pharmaceutical mafia," Nebojša Medojević has repeatedly stated. "This corrupt practice was introduced by Ramo Bralić of the SDP and Aco Đukanović," he added. "For this reason, all assets accumulated by ministers of health and Health Fund directors since 1998, which they cannot justify with their regular income, should be seized!"
The MANS Research Center revealed that in 2013, Glosarij and Farmerga were among the privileged companies that benefited from the Investment and Development Fund (IRF). They received favorable loans and had the Fund purchase their million-dollar claims—€1.8 million each.
As their business expanded, Branimir Martinović established Glosarij CD in 2012.
According to an earlier CIN-CG study, Glosarij received over €90 million from the state for medicines and medical devices between 2012 and 2017. This amount represents nearly half of the total funds available to Montefarm for medicine procurement from the state budget.
Many of these funds went to Glosarij while Budimir Stanišić was director of Montefarm. After stepping down in early 2017, Stanišić bought 50 percent of the shares in Medica, a company with which he had previously entered into procurement contracts on behalf of the state. Goran Martinović, the son of Glosarij's owner, purchased the remaining shares, who left the company in early 2018 and now works there.
The demand for medicines has continued to grow. 2012 Montefarm's budget for medicines was €36.99 million, rising to €49.43 million by 2016. In 2014, Glosarij received €31.6 million of the €42.5 million allocated for medicine procurement by Montefarm. Official data shows that from 2018 to 2022, pharmaceutical spending in Montenegro nearly doubled, from €61.4 million to €119.4 million, representing an average annual growth of 18 percent. During the same period, the number of prescriptions grew by an average of 5 percent annually, from 5 million to 6.2 million.
WHAT RADUNOVIĆ, ČIRGIĆ, HRAPOVIĆ SAID
The issues with medicine procurement tenders were highlighted during the DPS era. In 2012, Miodrag Radunović, then Minister of Health, warned Milorad Katnić, the Minister of Finance, that unless the Law on Public Procurement was urgently amended, Montenegro would face a severe shortage of medicines due to overly complicated and prolonged procedures.
"A tender for insulin procurement was announced, but due to a complaint, the process was delayed by 57 days. I wonder who has the right to jeopardize the lives of 35,000 people with diabetes in Montenegro, simply because bureaucratic procedures—unrelated to life-saving needs—say so," Radunović remarked at the time.
He further emphasized, "Someone sitting in an office, far removed from reality, has equated the procurement of building materials, cement, or bricks with the procurement of medicines."
Concerns about a monopoly in this highly profitable sector resurfaced in 2017, when the Health Fund urged the Ministry of Finance to revise its approach to medicine and medical device procurement. Led by Sead Čirgić, the Health Fund warned that the complex and time-consuming public procurement procedures were fostering monopolies, driving up prices for specific medications, and causing frequent shortages. They also noted that a significant portion of the market was dominated by a single supplier, directly impacting pricing. In some cases, they reported that the price of certain medications had risen by as much as 97 percent in just two years.
At the end of 2018, a scandal broke over the inflated prices of medicines in Montenegro, which were three to five times higher than in Serbia. In response, the Ministry of Health, then headed by Kenan Hrapović, issued a warning to wholesalers and license holders for the sale of medicines. The Ministry stated that if double pricing and unjustifiably high prices continued, they would report the issue to the Ministry of Economy and the Agency for the Protection of Competition. However, no action was taken following this warning. At the time, the Atlas Group alleged that Budimir Šegrt, Hrapović's predecessor and a figure appointed by Milo Đukanović as the director of the Meljine hospital, had been involved in extracting money from the hospital through wholesalers Glosarij and Montefarm.
In a later session of the Montenegrin Assembly, Nebojša Medojević claimed that the authorities had refrained from arresting the owner of Glosarij for illegal activities due to his connections, specifically that he was the godfather of the chief Special Prosecutor, Milivoje Katnić.
MANS (the Network for the Affirmation of the Non-Governmental Sector) revealed in 2021 that in July 2009, Katnić had purchased a 54-square-meter apartment in Podgorica for €67,800. Four months later, he sold the same apartment to Glosarij for €96,000. Katnić justified the €30,000 price increase by claiming he had renovated significantly. MANS alleged that this transaction was a form of corruption through a gift.
When the COVID-19 pandemic began, over €8 million in donations were made to the National Coordinating Body for Infectious Diseases (NKT) in just four months to help combat the virus. Of that amount, €1.7 million was spent, with the most significant portion—€537,837—paid to Glosarij. Public outrage and opposition concerns arose when it was revealed that Hajriz Brcvak, a noted humanitarian, had donated ventilators to the NKT for $4,700 to $5,000 each. At the same time, Glosarij bought similar ventilators and sold them to the state for $19,000 each.
The Final Hours: Health system on the brink of collapse
After the pandemic and the change in Government, the Health Insurance Fund (FZO) warned that the country's health system was on the brink of collapse. It was revealed that the FZO owed approximately €45 million to wholesalers and suppliers of medicines for Montefarm, with nearly 75 percent of that amount—€30 million—owed to a single company, Glosarij, as announced by the then-director of the Fund, Dragoslav Šćekić.
At the end of 2021, Šćekić called on the prosecutor's office to investigate how the health system had been driven into a subordinate and controlled state. He highlighted that Montefarm was unable to import medicines and was instead forced to purchase all its supplies from Glosarij, which had invoiced a staggering €114 million over the previous two years.
In 2022, Šćekić was appointed Minister of Health, but the Europe Now Movement has accused him of numerous failures in the healthcare sector. In September 2022, Montefarm responded to a summons from the PES (Europe Now Movement) and the minister and to accusations from former ministers Milojko Spajić and Jakov Milatović.
"Outstanding debts in 2021 to Glosarij, amounting to €15 million, were transferred to 2022 through factoring, at your insistence, with a firm promise that these funds would be allocated in the 2022 budget. As expected, no action was taken on your promise," Montefarm responded.
At the same time, Nebojša Medojević called on the Chief Special Prosecutor, Vladimir Novović, to investigate a 2021 deal between the then Minister of Finance, Milojko Spajić, and Glosarij, in which the state provided guarantees and paid €17 million through cession.
In March of the previous year, during a government session, the then Minister of Health, Dragoslav Šćekić, emphasized the need to confront the pharmaceutical mafia. At that time, Prime Minister Dritan Abazović suggested that Montefarm should spearhead efforts to establish a pharmaceutical manufacturing facility in Montenegro.
"Montefarm has essentially become the Glovo of medicines in Montenegro—just a distribution center. Instead of focusing on domestic production, Montefarm has been reduced to a logistical hub, where medicines arrive and are then transported to pharmacies. Maybe that was the vision of the previous Government. But I can say with certainty that Montefarm could begin producing medicines, at least those for mass consumption," Abazović asserted.
Plans for a New Medicine Factory Halted
Marinović told CIN-CG they had conducted a preliminary study for the factory project. The study determined that taking on debt was unnecessary, as the construction could be financed using the 6,300 square meters of land owned by Montefarm next to the Atlas Capital Center. The plan projects that the new factory's output could capture around 40 percent of the domestic market share, with the potential for expansion depending on domestic and export market demands.
Marinović further explains that the factory would employ 400 people. In the first year, the projected profit would be €5 million, growing to €25 million by the fifth year. Beyond the market impact, the factory would also address the lack of laboratories in Montenegro and play a critical role in establishing national drug reserves, which the country currently lacks.
In the Development Plan from last year, it was emphasized as a priority that Montenegro should establish at least one factory for essential medicines. One of the key points highlighted was that Montenegro remains the only country in the region without its galenic laboratory (which produces simple drugs in small batches), and there is an urgent need to establish one as soon as possible.
"According to the plan, the new galenic laboratory within Montefarm would produce between 180 and 200 galenic drugs on an area of 700 to 900 square meters, with the required funding for its establishment estimated at €880,000 to €1 million." However, the Ministry of Finance halted the project's implementation last fall.
A year after the public launch of this initiative, the situation remains unchanged. In the last three years and three months of this year, Glosarij secured 226 tenders. In terms of buyers, Montefarm dominates with a 94 percent share, followed by KCCG with 3 percent, and the Institute for Public Health and other buyers, each with 1 percent.
Uncovering the Link: Acting Director of Montefarma and the Glossary Connection
The business continues to grow, with the Martinović family owning one of the largest private pharmacies, Tea Medica. Additionally, Branimir Martinović, the owner of Glosarij, holds a 33 percent stake in the healthcare institution Moj Lab. Moj Lab operates three polyclinics in Podgorica, Ulcinj, and Budva, along with laboratories in 10 other cities across Montenegro. Co-owners of Moj Lab with an equal stake include Dragan Bokan, the owner of Voli, and Milan Mijović, a former director of KCCG and a surgeon.
Vojislav Šimun, the Minister of Health from the PES, recently accused Marinović in the Assembly of allowing certain lobbies to flourish during his tenure, asserting that he is neither part of nor intends to be part of the pharmaceutical lobby.
"One wholesale drugstore accounted for 83.8 percent of the budget in 2021, 106.4 percent the following year, and 90 percent in 2023, while another company held 18 percent, simply because it sold much more expensive drugs," Šimun pointed out.
He also announced that he would refer the matter to the prosecution.
After Marinović's dismissal, Aleksandar Bogavac was appointed acting director of Montefarm. According to his biography, he previously worked as a sales officer and medical representative at the company Farmegra and later as marketing and sales supervisor at the company Alkaloid in Podgorica.
Interestingly, the authorized distributor for the Alkaloid factory in Skopje for Montenegro is Glosarij.
Medicine, Business, and Basketball: Unraveling the Ties That Bind
Vladimir Martinović owns four companies: Glossarij, Glossarij CD, Keywork Estate, and Monte Resort. His primary source of business revenue is Glossarij, which generated 128 million euros in income last year and a profit of 5.6 million euros.
2023 Glossarij CD recorded 14.7 million euros in income, with a net profit of 3.1 million euros.
Keywork Estate, which Martinović wholly owns, reported 411,000 euros in income last year and a profit of 191,964 euros.
Over the past three years, Monte Resort has earned 200,000 euros in income. While the profit was 6,000 euros in 2021, it increased to 94,000 euros in 2022 and 2023.
Through Glossarij, Martinović also owns a 10 percent stake in The Badger MNE. This company has not generated any business income in the past three years and reported a loss of 22,000 euros last year.
Until September 2022, Martinović also owned Gradska kafana in Cetinje, which is now co-owned by Jovan Martinović and Marko Martinović. In 2023, this company achieved 1.3 million euros in revenue and a profit of 77,000 euros.
Previously, Martinović was the co-owner and executive director of Evergreen, a company under blockade since the end of 2005, with a debt of 629 euros. Until mid-2016, he held a 50 percent stake in Terra Properties d.o.o. Belgrade, a company that has been blocked since October 2018, has debts totaling 152,000 euros. Before 2014, Martinović co-owned Monte Vila Kotor, a family business now in liquidation.
He was also an indirect owner of Glossarij M and Glossarij PH, both in liquidation, and co-owned the now-deleted company Sensilab. Until May 2008, Martinović was a co-owner of Baypharm, whose representative was Oleg Obradović, former chairman of the board of First Bank and a key figure in the Telekom affair. Baypharm entered bankruptcy in 2022, with a tax debt of 352,000 euros.
Martinović's sons own Tea Medica, one of Montenegro's largest pharmacies. Last year, the company reported 21 million euros in income and a profit of 972,000 euros.
In the health sector, Martinović, Dragan Bokan, and Milan Mijović co-own Moj Lab, each holding a one-third share. The company's profit dropped from 2.8 million euros in 2021 to 50,000 euros in 2022, and it posted a loss of 462,000 euros last year.
Basketball also connects these three individuals. Milan Mijović is a former doctor for the Budućnost Basketball Club and the Montenegrin national basketball team. Dragan Bokan is the head of the management board of Budućnost Voli, and Martinović is a member of its management board.
It's worth noting that Milo Đukanović, former president of Montenegro, served as the long-term president of the Basketball Association of Montenegro.
The Environmental Protection Agency approved the Environmental Impact Assessment Report for Tehnoput, which relies on data up to seven years old. Meanwhile, companies actively damaging the Cijevna and Morača rivers continue operations without valid water permits
Predrag NIKOLIĆ/Andrea PERIŠIĆ
The residents of Donja Cijevna and Mahala are exposed to constant noise and air pollution caused by asphalt, sand particles, and various harmful substances. Some live fifty meters away from as many as three asphalt production plants.
All of this is happening on the banks of the Cijevna River, which is primarily protected by law and designated a natural monument. Along with the Morača River, it feeds the endangered Bolje Sestre water source, listed by UNESCO as one of the world's 150 most essential karst springs. Directly across from the asphalt plants, on the opposite riverbank, lie extensive Plantaže vineyards and fields of medicinal herbs and sandy everlasting, all of which are also at risk from harmful airborne particles.
Along the riverbank, several companies operate bases equipped with complete machinery, crushers, and rolling stock, including Putevi, Bemax, Genex, and Tehnoput. The latter recently obtained approval from the Environmental Protection Agency (EPA) for its Environmental Impact Assessment and work permit. According to research by the Center for Investigative Journalism of Montenegro (CIN-CG), however, the assessment relies on data up to seven years old, much of which is irrelevant to the specific location.
In response to CIN-CG, the EPA emphasized that its approval of the Environmental Impact Assessment is just one of many documents Tehnoput requires to carry out its operations. They also noted that if the approval had been denied, the Agency could have faced a lawsuit and potential compensation claims from the company. "We could find no legal grounds to withhold consent for the assessment," the Agency stated.
Saša Aćimić's Tehnoput company has operated concrete production and gravel extraction activities on state-owned land. Since 2012, it has failed to obtain a building permit for its facilities. In January 2023, the construction inspection and the police sealed Tehnoput's asphalt base on the Cijevna River. However, the seal was quickly removed, and illegal activities resumed. The prosecution intervened, leading to Aćimić's arrest, but he was soon released to face the charges in court.
When the Montenegro Petrol plant was demolished in February 2023, residents and the public hoped it marked the end of gravel theft and restoring order to the area. However, the recent issuance of environmental approval for Tehnoput suggests that the situation is not moving in that direction.
Saša Bošković, a resident of Donja Cijevna, told CIN-CG, "We thought the issue was resolved, but it was all a farce. The bases never stopped operating, from six in the morning until four in the afternoon. The Putevi base was a primitive operation, but a new one was installed a year and a half ago and began functioning without a water permit or proper authorization. Gravel theft continues, and now it's carried out by those with political backing or strong family connections..."
The dramatic decline in the yield of the Bolje Sestre spring most clearly illustrates the devastating impact of illegal gravel extraction. In 2010, when it was selected as the primary source for supplying the Montenegrin coast, its output was 2,600 liters per second. By 2020, however, this had plummeted to nearly eight times less, just 334 liters per second. In 2021 and 2022, the yield further decreased to 265 liters per second. However, following some state interventions, the yield saw a notable recovery in 2023, rising to 677 liters per second, an increase of two and a half times.
The Regional Waterworks—Montenegrin Coast (Vodovod) explained to CIN-CG that efforts to halt the illegal extraction of gravel and sand until early 2023 had not produced the desired results, with the yield continuously decreasing. They reported that the Morača riverbed in the II sanitary protection zone had been lowered below the permitted 10 meters above sea level, with some areas dropping even below three meters.
Despite this, the Waterworks remain hopeful that the additional water supply contracted from the Bolje Sestre spring will meet the demands for the upcoming summer tourist season. "The construction of the sand foundation is expected to increase the spring's yield by an additional 50 to 70 liters per second. Moreover, the ongoing construction of a water purification filter plant aims to provide an extra 100 liters per second," the Waterworks Agency stated.
Not a Single Company Holds Water Permits
All residents interviewed by CIN-CG claim that none of the companies managing the asphalt plants have received water permits from the Water Administration, which confirmed this.
"We have not issued water permits for the asphalt plants on Cijevna. Under the Water Law, investors are not required to obtain a water permit before receiving the Environmental Impact Assessment approval. However, the law is clear: a use permit cannot be granted for any facility or structure without a prior water permit," the Administration stated.
The Agency emphasizes that this issue has been blown out of proportion, as the companies cannot legally operate without a water permit. Despite this, all these companies continue to operate smoothly, even though they lack the necessary water licenses.
According to the Water Law, an asphalt plant is considered a facility that could significantly impact water pollution and must meet strict criteria to obtain a water permit. These criteria include methods of operation, remediation measures, assessments of impacts on aquatic life and surrounding springs, records of extracted materials, and many other conditions.
This raises the question of how these companies can continue operating without impediment and receive approval from state institutions, even though in February 2023, the Government of Montenegro adopted a decision to urgently implement land remediation measures in the Bolje Sestre water source catchment area, along the Morača and Cijevna rivers, due to an ecological disaster. The Government also tasked the Ministry of Ecology, Spatial Planning, and Urbanism (MPPUDI) and the Environmental Protection Agency (EPA) with removing and demolishing buildings in this area.
CIN-CG sent inquiries to the Ministry of Spatial Planning, Urbanism, and State Property (MPPUDI) asking how many facilities for the exploitation of gravel currently operate in the Morača and Cijevna areas, whether they are active, and why the facility operated by Montenegro Petrol has not been removed. Despite a lengthy wait, no answers were provided when this report was published.
Aleksandar Perović, the director of the NGO Ozon, points out to CIN-CG that the real issue lies in systemic dysfunction. "If, for example, one permit is missing—either a water permit or an environmental permit—this signals a lack of intersectoral cooperation and raises concerns about potential corruption and incompetence. It is inconceivable that institutions responsible for environmental and water protection cannot agree," he believes.
The EPA has stated that it will work to address this non-cooperation. CIN-CG has learned that, by the end of the month, at the Agency's initiative, a meeting will be held with representatives from the Water Administration, the Regional Water Supply (Montenegrin Coast), and the Municipality of Zeta. The goal of the meeting is for these institutions to come together to find a solution to the issue of asphalt plants.
Currently, the spatial plans in force classify the area where these plants are located as an industrial zone. If someone were to propose a nuclear power plant there, it would even be possible. Therefore, according to the Environmental Protection Agency, the only viable solution is to impose a moratorium on construction until new spatial plans are adopted that would redefine the purpose of the land.
Everything problematic is concentrated in the Zeta area. We face serious environmental issues—KAP, red mud, gravel extraction, asphalt plants, and sewage collectors. The current spatial plans even allow for the establishment of smelters, ironworks, refineries, and the storage of flammable waste. I'm concerned that a complex and troubling situation lies ahead. The spatial plan needs to be revised to reflect the local community's needs better," Tatjana Torbica, a resident near the asphalt plants, said in an interview with CIN-CG.
Tehnoput Report Based on Irrelevant Data
Several noteworthy points emerge in the recently approved Elaboration of the Tehnoput, which the EPA approved at the end of last month.
The section discussing the current air quality state explicitly states that measurements were not taken at the project site. The report notes, "Air quality measurements at the project location were not conducted, as the site is situated near KAP." Instead, the earlier results of these measurements, as far back as 2017, are listed.
Similarly, soil quality data were not collected at the project location. Instead, the data dates back to March 2019 and pertains to a nearby site.
More recent data on environmental quality comes from the Morača River, specifically for the monitoring profile located downstream of the Cijevna River mouth. These measurements were sourced from the Ecological Yearbook III-21 of the Institute for Hydrometeorology and Seismology of Montenegro for 2021.
It is striking that the EPA approved the study in which, under the section titled "Population," the following statement appears: "In the vicinity of the site, specifically in the southwestern and southern parts, there are the settlements of Cijevna (61 inhabitants), Srpska (868 inhabitants), Balijače-Mahala (1,354 inhabitants), and Mitrovići (299 inhabitants)." Despite this, the study concludes that there will be no impact on the local population, stating: "There are no residential buildings in the immediate vicinity, and its exploitation will not have an impact on the local population... Normal operation of the asphalt base will not negatively affect people's health."
In response, the residents of Donje Cijevna and Mahala have filed a complaint against the Tehnoput Elaboration recently submitted to the EPA, to which CIN-CG had access. The locals argue that this statement is so inaccurate that it raises questions about whether the authors even understand the planned work's location and nature. As the complaint states, "The report contains a list of measures that can be taken to protect soil, water, air..., however,...nowhere is it precisely stated which of these measures the investor will undertake in his work and in what way."
Furthermore, Ozon emphasizes that environmental compliance requires consistent air, soil, and water quality monitoring, with regular reports submitted to the relevant authorities. Perović notes, "Practice shows that this is not being done."
Unseen Consequences: The Overlooked Health Impact of Dense Asphalt Plants Amidst Agricultural Lands
Donja Cijevna and Mahala residents are increasingly alarmed that no comprehensive analysis has ever been conducted to assess the impact of multiple asphalt plants concentrated in such a small area on human health.
Notably, in 2022, the Protector of Property and Legal Interests of Montenegro addressed a letter to the Environmental Protection Agency (EPA), urging the Agency to evaluate the cumulative environmental impact of all three asphalt plants—something residents have been demanding for years, but without success.
The EPA, led by Milan Gazdić, replied to the Protector that the Law on Liability for Environmental Damage does not recognize claims that companies managing asphalt bases have polluted the environment. Instead of conducting new assessments, the Agency referred to existing findings from the Environmental Inspection and the Center for Ecotoxicological Testing (CETI), citing previously approved Environmental Impact Assessment studies for the facilities.
Despite this, residents have persistently submitted evidence indicating that the asphalt plants do not comply with environmental standards. "We face constant air and water pollution, unbearable noise, and serious health risks due to the plants operating without regulated working hours," Torbica warned.
She also highlighted the ongoing environmental degradation of the surrounding land and the direct discharge of wastewater into the Cijevna River. "On top of that, large mounds of waste material are scattered across the area, and when the wind picks up, it blows that dust right into our homes," she added.
Residents have repeatedly pointed out inaccuracies in the Environmental Impact Assessment. One of their letters to municipal authorities, seen by CIN-CG, challenges claims that there is no agricultural land near the asphalt plants. "On the eastern side, there are vineyards owned by Plantaže, and the potential harm to these crops has never been investigated. On the other side of the riverbank, near the railway, there is a privately-owned wheat farm, along with extensive fields of aromatic plants," the letter notes.
CIN-CG verified these claims through on-site visits and also contacted Plantaže.
The company stated: "Although no negative impact has been officially recorded in the micro-locations nearest the asphalt plants, we continue to monitor the situation closely as part of our regular field activities."
Residents had hoped all the plants would be shut down. "Two are already in operation, and now a third one, which has been here for 10 years without permits, approvals, or environmental studies, is about to start. We raised these issues with the previous Government, and now with the new one, but no one has responded," Bošković said.
Locals Lose Trust in Environmental Agency
Torbica points out that they have not received any response from the institutions about the damage so far. She is particularly disappointed in the work of the Environmental Protection Agency. "We addressed them; we even had a verbal promise from Milan Gazdić. He said that he would provide us with an assessment of the damage caused by the operation of the asphalt bases a couple of years ago, and we never received an answer," she says.
After obtaining approval for the construction of another base at Cijevna, the EPA, the Regional Waterworks - Montenegrin Coast, and the Water Administration followed a fight over who was to blame for the permit being issued in the first place.
In September of last year, the Regional Waterworks decisively announced that it was impossible to issue a consent to the Tehnoput Elaboration due to the protection of the Bolje Sestre water source. The EPA states that the Water Administration noted in its statement that the plot of the asphalt base is not located in the sanitary protection zone of the water source and that the base is about six kilometers away from it as the crow flies. The Water Administration states that the plot where the base is located is not covered by the second sanitary protection zone, nor by this source's proposed third protection zone.
Interestingly, however, this Administration has not determined the boundaries of this area's wider protection zone since 2008.
Torbica thinks the regional water supply had to hire an accredited institution that would make a realistic assessment of the wider sanitary protection zones. "Someone, by accident, left this area out of the wider zone of sanitary protection, from the third zone," she says.
The Regional Water Supply previously explained why asphalt bases cannot be in sanitary protection zones. "Considering that the operation of the base causes the release of chemicals into the air during production, including many toxic air pollutants such as arsenic, benzene, formaldehyde, cadmium, phenol and hexane, it is unacceptable and unfair to pollute the Morača River in this way and thus endanger the Bolje Sestre water source"
Gazdić has stated on several occasions that investors are obliged to observe measures to prevent or eliminate harmful effects.
"We cannot rely on the fact that the protection measures proposed in the studies will be taken, because this has not been the case until now either." Bemax, for example, discharges wastewater that is the product of washing their machines directly into Cijevna. If we know that the worst chemicals are used for this, and that it all goes into our rivers and Lake Skadar, what are we talking about then?" Bošković asks.
It is no wonder that the citizens do not trust that they will work according to the law. The Agency itself announced in November 2023 that the companies Montenegro petrol, Bemax, Cijevna Komerc, and Beton Montenegro did not comply with the legal obligation and did not submit the approval of a proposal for remedial measures due to the damage done in the bed of the Morača river.
By the way, the Law on Liability for Environmental Damage foresees a misdemeanor fine of two to forty thousand euros for a legal entity that does not prepare and submit a proposal for remedial measures within the time limit set by the decision.
CIN-CG previously wrote that out of 25 criminal proceedings initiated due to the illegal exploitation of gravel in the last five years, only five were completed. Two were rejected, and in three, the perpetrators received symbolic punishments—two fines of 1,700 euros and 800 euros, and one suspended sentence.
Montenegro petrol, on the other hand, has been stealing gravel on state land for decades. It has initiated proceedings against the state before the Commercial Court and is seeking compensation of four million euros!
Bošković points out that their struggle and ignoring the institutions has been going on for 10 years and announces that they will go on protesting if they do not receive an answer.
Asphalt Bases in the Region Are Located at a Distance from Populated Areas
Many asphalt plants in Montenegro are located far from densely populated areas. Examples include Teko Mining Vinča in Grocka, SremPut in Ruma, HidroKop in Banja Luka, Bjelovar Road, Zagreb Road, and Novi Pazar Road.
In certain countries, ecological asphalt associations prioritize the sustainable use of recycled asphalt, commonly referred to as "green asphalt." This includes the production of low-temperature asphalt, which emits fewer harmful substances.
The European Commission (EC) has warned for years that the asphalt industry is one of the most significant energy and raw materials consumers, contributing significantly to greenhouse gas emissions. Their proposed solution is the development of new technologies that integrate waste and recycled materials into the asphalt production process. This would enhance sustainability, reduce the carbon footprint, and minimize environmental impact. One such project, supported by the EC in Spain in 2014, presented the concept of eco-asphalt, which combines green binders, recycled aggregates from construction waste, and regenerated asphalt.
Although these eco-friendly practices have been implemented in Europe for years, they remain distant from Montenegro. Despite being intended as temporary, asphalt plants often stay in one location for decades. Donje Cijevna and Mahala residents express their frustration, stating they have no other place to call home. "Asphalt plants are mobile and can be relocated to more suitable areas, considering their destructive environmental impact," they say. With bitterness, they recall how, when they sought assistance from authorities, they were told that a similar plant was in the center of Berlin.
Many Companies Operate Illegally, Yet Police Fail to Respond
The Center for Investigative Journalism of Montenegro (CIN-CG) gained access to a report titled "Information on the Status of Inspection Procedures for Engineering Facilities – Asphalt Bases, Concrete Bases, and Crushing Plants," prepared by the Directorate for Inspection Supervision of the Ministry of Ecology, Spatial Planning, and Urbanism at the end of January 2023.
This document outlines the results of inspections, decisions to rectify violations, demolitions, prohibitions, and requests to initiate misdemeanor proceedings against companies responsible for environmental damage in the Cijevna and Morača regions.
Regarding the Tehnoput facility in Cijevna, the Ministry decided in 2023 to halt construction, and the site was sealed. Despite 14 inspections and four decisions to rectify violations, the company continued its operations. Recently, the Urban and Construction Inspection issued another decision prohibiting construction, but it remains uncertain whether this will stop their activities, as previous decisions have had no effect.
Three demolition orders were issued for Bemax's asphalt base due to construction contrary to approved plans, and the legalization process was halted. Despite 13 inspections and the issuance of decisions to correct violations, Bemax continues to operate at the site.
Cijevna Komerc received a demolition order for two concrete bases built without proper permits, and inspections found violations related to selling unapproved concrete. In this case, the Environmental Inspection conducted 11 inspections, issued four decisions requiring the elimination of irregularities, and submitted two requests to initiate misdemeanor proceedings. The Market Inspection found that records related to the purchase and sale of bulk goods were not made available during the inspection, which constitutes a violation of the Law on Internal Trade. Furthermore, as was the case with Bemax, it was determined that concrete had been placed on the market without verified proof of usability. Yet, the company remains active in Cijevna.
Putevi had one asphalt base removed and a temporary facility installed. The company was subject to the most inspections (20) and numerous orders for violation corrections, but it continues operations at the location.
In Morača, Čelebić was prohibited from using a building not registered in the real estate cadastre. The company also violated internal trade laws. The Environmental Inspection conducted five inspections and issued three orders to rectify identified irregularities. The Market Inspection also recorded a violation of the Law on Internal Trade, as records of bulk goods transactions were not available at the time of inspection, mirroring previous cases. Additionally, it was found that the company was placing concrete on the market without verified usability through a statement of properties. Significant activity by Čelebić continues at the Morača site.
Montenegro Petrol is the only company whose facility was demolished because it was built in violation of the applicable planning documents and without the necessary permits. The Environmental Inspection carried out 19 inspections, issued six orders to eliminate irregularities, and submitted four requests to initiate misdemeanor proceedings. The Market Inspection found violations of both the Law on Internal Trade and the Law on Construction Products, for the same reasons previously identified in the case of Čelebić.
Despite these violations, all companies continue to operate without interruption. This is supported by information obtained by CIN-CG, which indicates that representatives of the competent environmental and water protection authorities in Montenegro recently visited the area, accompanied by foreign embassy officials, to demonstrate how gravel is being illegally extracted. During the visit, one embassy representative asked: "Why don't we call the police?"
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