Podgorica plans to direct about 90 million euros, roughly half of its 2027 budget, to capital investment in ongoing and new projects, Balša Špadijer, the city’s secretary for financial affairs and budget analysis, said. Capital investment is expected to exceed levels in previous years, while the city expects the Euro model’s additional costs to leave investment spending intact.
Capital budget priorities include completing Vojislavljevića Boulevard, work on the western bypass, and improving the central and other city squares, as well as Slobode Street. A substantial share is allocated to the wastewater treatment plant in Botun, with a projected 2027 cost of 22 million euros.
About 70% of the concrete work at the Botun plant has been completed, and the project is advancing intensively. Podgorica invested 65 million euros in capital projects in 2025; investment this year is expected to be roughly at the same level.
Implementation of the Euro model from January is acceptable to Podgorica and is not expected to threaten financial stability or lead to layoffs in the city administration or municipal companies. The model will add 4.4 million euros to the administration’s costs. “Absolutely not. Everyone can be assured that this will not happen,” Špadijer said.
Municipal companies employ about 3,000 people, and their additional costs from the model are expected to be considerably higher than those for the administration. Podgorica has planned an intervention of about six million euros in 2027 to cover the companies’ extra costs.
The city does not expect those additional expenses to reduce investment funding. Instead, it expects revenue to rise and investment in Podgorica’s development to increase. The 2027 plan also provides for higher allocations for culture, sport, agriculture, tourism and entrepreneurship.
Podgorica’s obligations are expected to be paid regularly, with the city’s financial system remaining stable. Špadijer expects the 2027 budget to be adopted and anticipates another record year.
