The Montenegrin government has reintroduced a draft law on establishing a Credit Guarantee Fund, aimed at improving access to finance for micro, small, and medium-sized enterprises (MSMEs). Originally proposed three years ago under current President Jakov Milatović, the law was withdrawn without explanation during Dritan Abazović’s tenure. It has now returned to the agenda under the leadership of Economic Development Minister Nik Đeljošaj.
Both the Union of Employers of Montenegro (UPCG) and the Chamber of Commerce (PKCG) acknowledged that some of their previous suggestions were included, particularly regarding the governance structure and alignment with financial regulations. However, they believe the law still requires improvements, especially concerning fund allocation criteria and conditions for credit guarantees.
The fund is seen as a key instrument to support MSMEs, entrepreneurs and agricultural producers by providing easier access to financing with lower interest rates, grace periods, and reduced collateral requirements. Particular emphasis will be placed on supporting women in business, agriculture, ICT, tourism, manufacturing, and renewable energy.
The law stipulates that the Central Bank of Montenegro (CBCG) will oversee risk management and internal controls, while the Ministry of Economic Development will conduct supervisory functions. The fund’s initial capital will be €10.6 million, to be provided by the government, with operations expected to begin within six months of the law’s adoption.
Supported by technical assistance from the European Bank for Reconstruction and Development (EBRD), the fund aims to foster economic growth, job creation, and increased competitiveness in the Montenegrin economy.
