The European Investment Bank (EIB) is preparing to launch an investment wave of more than €200 million in Montenegro in the coming months, focusing on green transition, sustainable infrastructure, and the growth of small and medium-sized enterprises, said Davor Kunc, the EIB representative for Montenegro.
He noted that the opening of the EIB office in Podgorica brings a new dynamic to project implementation and strengthens cooperation with national institutions and the private sector. Supported by EU grants, the Bank plans to finance major projects such as the rehabilitation of the Bar–Golubovci railway, modernization of schools, hospital equipment, and upgrades to the Port of Bar.
Strengthening cooperation and long-term support
Kunc emphasized that the new EIB Global office marks a deeper commitment to Montenegro’s development and EU integration. The Bank will provide long-term, favorable financing for strategic infrastructure aligned with EU standards in climate, environmental protection, and social sustainability. It will also expand access to credit and guarantees for SMEs, innovation, and green technologies.
As Kunc noted, EIB’s presence carries symbolic importance: once Montenegro joins the EU, it will become a co-owner of the Bank, with the Minister of Finance taking a seat on the EIB Board of Governors.
Over €1 billion already invested
The EIB has so far supported more than €1 billion in projects in Montenegro, mobilizing over €2 billion in total investments. Key achievements include:
- Major investments in the Bar–Vrbnica railway, supported by a €75 million package including a €35 million EU grant.
- Over €23 million in EU grants to improve water and wastewater services for around 30,000 citizens in Kolašin, Rožaje, and Mojkovac.
- Nearly €50 million invested in upgrading 13 schools, including the new “Vladimir Nazor” school in Podgorica, now serving 1,200 students.
Priorities for the next five years
In the coming period, the EIB will accelerate financing for projects in green transition, connectivity, healthcare, education, and support for businesses. Upcoming investments include:
- More than €200 million in new financing.
- Support for the Bar–Golubovci railway: a €63 million loan and over €110 million in EU grants—one of the largest EU support packages in Montenegro.
- Support for the modernization of the Port of Bar.
- Upgrades to more than 30 hospitals.
- A new financial package for school modernization.
Supporting EU alignment
All EIB projects follow strict EU standards, particularly in climate action and environmental protection. Through technical assistance, advisory services, and blended financing under the “Team Europe” approach, the EIB helps Montenegro prepare and implement projects that directly support EU accession requirements.
Citizens already benefit from these investments—through faster rail travel, safer roads, modern schools, clean water, expanded digital access, and improved public services.
Boosting the green transition
Montenegro has made strong progress in decarbonization, and the EIB is ready to expand its portfolio of sustainable projects. This includes green financing for SMEs in cooperation with the Development Bank of Montenegro, technical assistance, and mobilizing EU grants to scale up green investments.
Ensuring transparency and efficient implementation
To secure effective and transparent project delivery, the EIB provides technical assistance through programs such as JASPERS, the Western Balkans Investment Framework, and partnerships with organizations like UNOPS, which is preparing a national assessment of educational infrastructure.
Support for SMEs through local partners
Through its partnership with the Development Bank of Montenegro, the EIB has already provided €100 million in financing to more than 300 SMEs, including €20 million for green investments. A new €50 million green credit line is being prepared to help Montenegrin companies adapt to the EU’s upcoming Carbon Border Adjustment Mechanism (CBAM).
In addition, a new guarantee program under the Western Balkans Investment Framework will mobilize €15 million in favorable loans for around 100 SMEs, helping preserve approximately 5,750 jobs.
A long-term partner for Montenegro
Kunc emphasized that EIB’s presence in Montenegro will deepen cooperation, accelerate reforms, and support investments crucial for EU integration. The Bank will continue working closely with the EU Delegation in Podgorica and all “Team Europe” partners to advance regional integration, competitiveness, and economic resilience.
“The EIB is here to stay,” Kunc said. “Our new office marks a long-term commitment to supporting Montenegro’s economic transformation at this pivotal moment.”
