Gjeloshaj: Responsible policies shield citizens from inflation

The Ministry of Economic Development has played a pivotal role in closing three negotiation chapters with the European Union, adapting economic policies to protect Montenegrin citizens from inflation, and achieving outstanding results in this field. In the coming period, it will allocate additional funds to support the economy, stated Deputy Prime Minister for Economic Policy and Minister of Economic Development Nik Gjeloshaj.

Speaking at a working breakfast with media representatives to present the Ministry’s achievements in 2024, Gjeloshaj highlighted dedicated efforts to improve the economic environment, foster entrepreneurship, reduce unemployment, and promote sustainable economic growth.

Gjeloshaj underscored that the closure of negotiation chapters 7, 10, and 20 marks a significant step toward Montenegro’s full membership in the European Union.

This is not merely a technical accomplishment but a testament to our determination, unity, and dedicated work leading us toward a more modern and prosperous society, Gjeloshaj emphasized.

The closure of Chapter 20 (Entreprise and industrial policy) symbolizes the Ministry’s vision to strengthen the economy and promote entrepreneurship.

Chapter 10 (Information society and media) represents a decisive step toward a digital future. With the adoption of the Electronic Communications Act, we have enhanced the regulatory framework, ensured fair competition, and created conditions for more accessible and higher-quality telecommunications services, Gjeloshaj stated.

Chapter 7 (Intellectual property law) ensures that the results of intellectual work are protected at European standards, he added.

Over the past period, Montenegro has achieved significant progress toward macroeconomic stability, reflected in impressive results. Montenegro’s GDP grew by 6.3% in 2023, signaling a clear improvement in citizens’ living standards.

Another notable economic indicator is the significant drop in the unemployment rate, which fell to a record low of 11.5% in the second quarter of 2024.

In October of this year, we recorded a decrease in the annual inflation rate to 1.2%, further demonstrating successful economic management and price stability. According to Monstat data, the monthly inflation rate for October was 0%, meaning prices remained unchanged compared to September, Gjeloshaj explained.

Consumer protection is one of the most critical segments of Montenegro’s economic policy.

One of the key initiatives in this area is the ‘Capped Prices’ campaign, which aims to limit price increases for over 70 essential products vital to health and quality of life. As a result, we recorded a decrease in prices in the ‘food and non-alcoholic beverages’ category by -0.1%, indicating negative inflation for these products, Gjeloshaj noted.

Through initiatives such as the Growth of Small and Medium Enterprises Programme, the Competitiveness Enhancement Programme, and the Innovation Promotion Programme focused on energy efficiency in industry, the Ministry is building a strong foundation for sustainable economic growth.

As part of the 2024 Craft Development and Promotion Programme, we continued to vigorously support the development of craftsmanship. It is also essential to highlight Montenegro’s unwavering commitment to improving regional cooperation through the implementation of the Action Plan for the Common Regional Market and the CEFTA Agreement, Gjeloshaj said.

The Ministry also launched the Point of Single Contact (PSC) portal in June, under Chapter 3 (Right of establishment and freedom to provide services). This portal significantly simplifies the process of starting a business and accessing the services market in Montenegro.

Our task is not solely to open up to Europe but to position Montenegro as a reliable partner on a global scale. This is why we signed the Memorandum of Economic Cooperation between Montenegro and the United States of America, Gjeloshaj recalled.

He announced intensified activities on European integration in the upcoming period, calling it a "key priority."

Additionally, for our economy, we will secure increased financial support through traditional assistance programmes. We are particularly excited about the opportunity to successfully represent Montenegro at the World Expo 2025 in Osaka, Gjeloshaj concluded.