Rugenat: Montenegro can be an example to others

Montenegro is today a leader in reforms in numerous areas and can serve as an example to many countries, assessed the Executive Director of the World Bank, Južin Rugenat, and praised the vision and courage of the Minister of Finance, Novica Vuković, in implementing reforms.

At the meeting with Vuković, he assessed that the first man in charge of finance in Montenegro has many reasons to be proud of the achievements of the department he heads and announced the continuation of strong support from the World Bank.

"You have many reasons to be proud of what you have achieved. Montenegro is today a leader in reforms in numerous areas and can serve as an example to many countries. It is especially important that you have a vision of long-term development and the courage to implement reforms and solve problems that have been present for a long time," Rugenat said.

He, as announced by the Ministry, particularly congratulated Vuković on the results that the Ministry of Finance achieved under his leadership, emphasizing progress in public finance reforms, strengthening fiscal discipline and the fight against the shadow economy, as well as the ability to open up and resolve issues that have posed a challenge to the Montenegrin system for years.

Rugenar particularly highlighted Montenegro's results in the fight against the shadow economy and illegal trade, including stronger suppression of cigarette smuggling, assessing that the experience Montenegro has gained in this area can be useful to other countries.

Rugenat said that the World Bank will continue to be a strong partner to Montenegro on its successful European and development path, with the readiness to further support reforms and investments in the coming period.

Vuković thanked Rugenat for his assessments and emphasized that the achieved results represent an obligation to continue the reform process with even greater intensity.

"Montenegro is at a point where we must turn stability into development. The economy is growing, investments are accelerating, the fiscal position is stable, and the reform process is progressing. Our task is to turn this progress into higher productivity, better quality investments, and a higher standard of living for citizens," said Vuković.

The meeting discussed current economic and fiscal developments. The Montenegrin economy achieved real growth of 3,8 percent in the second quarter, gross fixed capital formation increased by 8,7 percent, while budget revenues in the first seven months reached 1,72 billion euros.

"We want reforms to have concrete economic value. Partnership projects with the World Bank enable us to turn reform progress into additional space for investments. Our goal is for public finances to be the backbone of development," said Vuković.

The meeting also discussed the modernization of the capital market, the development of new financial technologies and the application of blockchain technology, as well as the need for stronger development of financial literacy among citizens.

In this context, Vuković informed Rugenat that Montenegro, with the support of the Government of the Netherlands, will open a Financial Academy next year, which will be focused on improving the financial knowledge and capacities of citizens, institutions and the broader economic system.

During the cordial and successful meeting, the final stage of the European process was also emphasized, with Vuković emphasizing that Montenegro's goal is not just to close negotiation chapters, but to create the capacity for the country to fully utilize the opportunities brought by the European Union after membership.

"We must be ready to use every euro that is due to us after membership in the European Union. This means that today we must strengthen institutions, prepare quality projects and strengthen the capacities of our economy so that it can absorb and convert European funds into new investments, growth and a better life for citizens," said Vuković.

The meeting assessed that the next phase of cooperation should be focused on linking reforms with stronger development results, especially through investments, energy and green transition, digitalization, climate resilience, modernization of the financial system, and further strengthening of institutions.

"Our ambition is for Montenegro to be not only reform-ready, but also development-ready by the time it joins the European Union. We want an economy that can take advantage of the European market, European capital and European funds. That is precisely why the World Bank's support is valuable to us, because it is working with us not only to solve today's challenges, but also to build capacities for the coming decades," concluded Vuković.