Montenegro's Cabinet Session

Podgorica, Montenegro (29 March 2018) -- At today's 70th session, chaired by Prime Minister Duško Marković, the Government of Montenegro adopted the Nomination Dossier for enrolling the Boka Navy at UNESCO Representative List of the Intangible Cultural Heritage of Humanity. The first candidacy of Montenegro in the field of intangible heritage will be submitted to UNESCO by the end of this month, followed by an evaluation lasting up to two years.

The Government adopted the Analysis of the Implementation of Tax Policy for 2017. the main objective of the Analysis is to analyse the effects of tax policy implementation in 2017 and its impact on the economy and the budget through the content of tax and customs regulations and the collection of taxes, contributions and other public revenues. When presenting the Analysis, it was announced that the implementation of tax regulations in 2017 generated total revenues in the amount of EUR 1,727.7 million, which is 5.4 percent higher than the previous year. In the previous year, state revenues in the amount of EUR 1,594.1 million were realised, and compared to 2016, they increased by EUR 73.7 million, or 4.9 percent. Local revenues in 2017 were collected in the amount of EUR 133.6 million, which is an increase of 12.7 percent compared to 2016.

The Report on Public Debt of Montenegro on 31 December 2017 was adopted at today's session. Total public debt on 31 December 2017 amounts to EUR 2,758.83 million, or 65.12 percent of GDP. Taking into account the deposits of the Ministry of Finance, which include 38,4777 ounces of gold, which at the end of 2017 totaled EUR 70.90 million, Montenegro's net public debt on 31 December 2017 amounted to EUR 2,687.93 million or 63.45 percent of GDP.

At today’s session, the Government also adopted a medium-term Public Debt Management Strategy 2018-2020, which established measures to manage costs and debt-related risks, in line with the current macroeconomic conditions and debt structure. The goal of this document is to reduce the costs of financing public debt with a reasonable level of risk, with special attention to the risk of refinancing the existing debt portfolio. The Strategy is based on the following guidelines: equalisation of repayment of debt by years and extension of maturity of commercial debt; risk reduction through currency risk management and interest rate risk; gradual development of the domestic market of government securities; minimising borrowing costs.

The Government also adopted the Information on the implementation and effects of policies in the field of entrepreneurship and business for the period from 1 January to 31 March 2018, which includes an overview of incentive measures, activities and expected effects, with emphasis on financial measures aimed at job creating, support for young people and women in business, reducing regional differences, support to priority sectors, and further development of the business community. A total of EUR 180,517,490.26 million of direct support to entrepreneurship and business was placed on the basis of various programmes in 2017, which allowed to save or open a total of 8,850 jobs, with the created preconditions of their additional creation. Also, 13 projects or programmes are considered, 10 of which involve direct routing of financial resources to the business sector, while the remaining 3 are focused on activities to support the creation or preservation of an existing business.

The Government adopted the Programme for the Promotion of Cluster Development in Montenegro for the period 2017-2020, for 2018. the Programme envisages providing financial support for more efficient functioning of innovative clusters and their promotion in order to achieve a better competitive position of entrepreneurs, micro, small and medium enterprises in the national and international market. A budget of EUR 150,000 is foreseen for the implementation of the Programme for 2018.

The Report on the implementation of the Plan for regular and investment maintenance, reconstruction and construction of state roads for 2017 was adopted, as well as the Draft Plan for regular and investment maintenance, reconstruction and construction of state roads for 2018.

The Government adopted the Proposal for issuing a long-term lease of the location “Vrsuta” in the municipality of Bar. The location of 19,798 m² will be issued in a thirty-year lease to the Flying Control of Serbia and Montenegro (SMATSA) for the installation of secondary radars in order to avoid the dependence on the exchange of radar images with providers from neighboring countries and to significantly improve the safety of air navigation in the area under SMATSA’s jurisdiction.

The Energy Efficiency Operational Plan for 2018 and the Report on the implementation of the Plan for 2017 were adopted at today’s session. The Energy Efficiency Operational Plan for 2018, which envisages funds in the amount of EUR 10,453,410.67, was designed as a plan for improving the energy performance of certain buildings managed by the competent state administration bodies, as well as buildings used by public services founded by the state.

The Government adopted the Action Plan for the implementation of the Programme “Creative Montenegro: Identity, Image, promotion” 2017-2020, for 2018, with the Report on the Implementation of the Action Plan for 2017. The Action Plan for 2018 plans the realisation of nine projects, which in different ways contribute to the contemporary revitalisation of unique and recognisable values of Montenegro.

A Report on the development and protection of minority rights and other minority national communities for 2017 was adopted as well.

The Government adopted the Action Plan for the implementation of the Strategy for durable solutions to the issues relating to displaced and internally displaced persons in Montenegro, with particular reference to the area of Konik, for 2018, as well as the Report for the previous year. Also, the Action Plan for the implementation of the Startegy for integration of persons with disabilities in Montenegro 2016-2020, for 2018 and 2019, was adopted.

The Report on the implementation of the Strategy for combating trafficking in human beings and the Action Plan from 1 July to 31 December were adopted.

The Government adopted the Report on the implementation of the Schengen Action Plan for 2017 and adopted the Action Plan for the implementation of the Schengen Action Plan for 2018. the discussion stated that a very high degree of 90.44 percent of the implementation of measures envisaged for 2017 was achieved. The Action Plan for 2018 contains measures that have not been or have been partially implemented in the previous year, as well as the measures that are foreseen in the Schengen Action Plan for the implementation in the current year in order to proceed with harmonisation of legislation and standards with the Schengen Acquis and the implementation of Schengen rules and practices.

The Eight Semiannual Report on Overall Activities in the Process of Montenegro's Integration into the European Union for the period July-December 2017 was adopted at today's session. The Report, which will be submitted to the Parliament, noted that Montenegro continued to record progressive results by opening new chapters, that it was working intensively on completing the negotiating position for a very demanding chapter on the environment and meeting the benchmarks for closing negotiating chapters, and that the process of altering the composition of the working groups for the preparation and conduct of negotiations was continued in order to maintain the degree of commitment and intensity of work in terms of meeting the obligations of the negotiation process.

PUBLIC RELATIONS SERVICE OF THE GOVERNMENT OF MONTENEGRO