The Council of Europe Development Bank (CEB) continues to actively support Montenegro’s sustainable development through several ongoing projects, aiding the country in its efforts to join the European Union (EU), according to CEB Governor Carlo Monticelli.
One of the key initiatives is CEB’s support for improving Montenegro’s healthcare system, in line with the Health Care Strategy for 2023-2027. Monticelli stated that the bank plans to finance healthcare infrastructure projects at various levels to ensure citizens have access to quality and affordable medical services. These projects will also support the modernization of the healthcare system, including the procurement of advanced medical equipment such as MRI and CT scanners. The investment will be presented for approval to the CEB Administrative Board during their meeting in Budva.
Additionally, CEB is working on a new loan aimed at strengthening the microfinance sector in Montenegro, improving access to credit for underserved groups, particularly women-owned businesses and rural enterprises.
Monticelli emphasized that CEB’s partnership with Montenegro has been strong and continuously deepening since the country became a member in 2007. He noted that this year’s hosting of the CEB Annual Joint Meeting in Budva marks a significant recognition of this partnership, as it is the first time Montenegro has hosted the event since the bank’s establishment in 1956.
Since joining CEB in 2007, Montenegro has received funding for 11 projects totaling EUR 213 million. These projects focused on key social sectors, including affordable housing, education, and employment support, benefiting thousands of citizens, especially youth. Education has been a particular priority, with CEB co-financing the construction of five new and the renovation of 28 preschool facilities, with four more planned, supported by a EUR 20 million loan. This aligns with Montenegro’s strategy for early education, a cornerstone of its EU accession process.
Another significant initiative is the “1000 Plus” program, which CEB financed with approximately EUR 55 million, allowing nearly 4,000 individuals to become homeowners through an innovative public-private partnership model. Additionally, CEB has supported small and medium-sized enterprises (SMEs) in Montenegro with over EUR 100 million in financing, helping preserve and create thousands of jobs, especially during the COVID-19 pandemic.
Monticelli also mentioned ongoing discussions about new projects in Montenegro, particularly in sectors aligned with the country’s social investment priorities, including education, from preschool to higher education and research institutions. CEB is also negotiating with the Ministry of Spatial Planning, Urbanism, and State Property on future phases of the “1000 Plus” program or alternative social housing initiatives.
Increasing access to affordable housing remains a priority for CEB across its member states, given the rising demand for such housing throughout Europe. Monticelli pointed out that the European Commission’s report on Montenegro highlights several key areas for investment, including vocational training, judicial modernization, SME development, and social inclusion programs, where CEB is ready to assist Montenegro as it continues its EU accession efforts.
CEB ensures the long-term positive impact of its projects by conducting thorough evaluations, offering targeted technical assistance, and continuously monitoring project implementation. Monticelli emphasized that CEB’s investment approach is designed to deliver lasting social and economic benefits, particularly for vulnerable groups.
Looking ahead, Monticelli sees significant potential for expanding CEB’s role in the Western Balkans, particularly in projects that contribute to European integration. To date, CEB has approved around EUR 2.9 billion in loans for the region, along with EUR 30 million in grants, mobilized through the Investment Framework for the Western Balkans (WBIF). This initiative has helped finance strategic infrastructure and social projects by combining CEB loans with EU and bilateral donor funds.
Monticelli concluded that it is essential to further increase strategic investments to support the ongoing reforms needed for EU accession in the Western Balkans. CEB remains committed to supporting Montenegro and other countries in the region in creating conditions for sustainable development and inclusive growth.
CEB is a multilateral development bank with a sole mandate to finance social investment projects across Europe, focusing on sectors like education, healthcare, and affordable housing, with a special emphasis on vulnerable groups. The Annual Joint Meeting brings together CEB’s leadership, officials, and members to discuss the bank’s political priorities and approve new investment projects. The meeting is held annually in a different CEB member state.
