World Bank's Jane Armitage: Montenegrin Government reaches reponsible, tough decissions

Podgorica, Montenegro (2 November 2012) – Montenegro and the World Bank have established excellent relations which can serve as a good example of a successful cooperation between an international institution and a state, Prime Minister Igor Lukšić and World Bank Regional Coordinator for South East Europe Jane Armitage agreed at a meeting earlier today.

The World Bank’s Regional Coordinator said that the Montenegrin Government was successful in dealing with difficult economic and financial crisis that had spilled over to Montenegro. It made a number of responsible and tough decisions, necessary fiscal adjustments, and reduced public expenditure. The Government has to continue to implement the adopted measures and it will have full support of the World Bank in that regard, she emphasised.

She also commended Montenegro’s progress in recently published Doing Business report. Montenegro moved up by 5 places compared to 2011 and this is the result of the continous efforts of the Montenegrin authorities in the areas significant for the advancement of business environment, Mrs Armitage said.

PM Lukšić thanked Mrs Armitage for her personal contribution to the implementation of numerous projects in Montenegro.

“The great support provided by the World Bank was invaluable in difficult times for our country and the entire world. You have helped us meet the agenda related to structural reforms, fiscal adjustments, advancement of business environment and the realisation of a number of infrastructural projects,” he noted.

The Prime Minister stated that the public spending in Montenegro has been reduced by more than 10%, and that the share of public spending in GDP has been significantly cut down. Through the adoption of the 2013 budget and the fiscal rules, the Government will work hard in order to further stabilise public finances and achieve economic growth, he concluded.

The meeting also addressed other economic issues related to the projects in the fields of industry, energy supply, tourism and agriculture.