EBRD plans to invest EUR 100 million in Montenegro

EBRD plans to invest EUR 100 million in Montenegro

European Bank for Reconstruction and Development (EBRD) is planning to invest around EUR 100 million in Montenegro, focusing mainly on the private sector, Head of EBRD Montenegro Office Giulio Moreno told the press conference earlier today.

As to infrastructure, there will be a strong credit line of EUR 20 million for a regional road near the municipality of Kolašin, Mr Moreno said.

In his words, the EBRD will continue to support Montenegro’s energy sector. Preparations for the installation of the Krnovo wind farm near the municipality of Nikšić, the project worth EUR 120 million, have entered the final stage. The institution will also fund a small hydro power plant project and is also interested in funding the reconstruction of the Tivat airport, Giulio Moreno of the EBRD underlined.

The EBRD expects, Mr Moreno continued, that in 2-month time period, conditions will be created for publishing a call for the construction of the cable car from Kotor to Cetinje over the Lovćen Mountain through public-private partnership.

He underlined that the EBRD is also involved in two major privatisation processes, namely of the Institute "Dr Simo Milošević" and the Adriatic Shipyard Bijela.

Montenegro’s 2014 economic growth was positive, Mr Moreno stated, but the authorities have to tackle the issue of non-performing loans which are still a major problem in the country. He added that the EBRD hopes the inflow of foreign direct investment will be boosted in 2015, referring in particular to the implementation of a number of major tourism projects and the priority part of the Bar-Boljare highway.

In 2014, the EBRD implemented projects worth 76 million EUR. The projects were related to the private sector, as the institution wants to improve the role of the private sector in terms of the EBRD investments in Montenegro," Giulio Moreno concluded.