|Cork and wood|
|Iron and steel|
|Metalliferous ores and metal scrap|
|Medicinal and pharmaceutical products|
|Energy and petroleum products|
Montenegro meaning "Black Mountain" is a sovereign state in Southeastern Europe. It has a coast on the Adriatic Sea to the south-west and is bordered by Croatia to the west, Bosnia and Herzegovina to the northwest, Serbia to the northeast, Kosovo[a] to the east and Albania to the south-east. Its capital and largest city is Podgorica, while Cetinje is designated as the Old Royal Capital (prijestonica).
Classified by the World Bank as an upper middle-income country, Montenegro is a member of the UN, the World Trade Organization, the Organization for Security and Co-operation in Europe, the Council of Europe, the Central European Free Trade Agreement and a founding member of the Union for the Mediterranean. Montenegro is also a candidate negotiating to join the European Union and NATO. On 2 December 2015 Montenegro received an official invitation to join NATO, whereby it would be the 29th member country. This invitation was meant to start final accession talks.
Internationally, Montenegro borders Croatia, Bosnia and Herzegovina, Serbia, Kosovo, and Albania. It lies between latitudes 41° and 44° N, and longitudes 18° and 21° E.
Montenegro ranges from high peaks along its borders with Serbia, Kosovo[a] and Albania, a segment of the Karst of the western Balkan Peninsula, to a narrow coastal plain that is only one to four miles (6.4 km) wide. The plain stops abruptly in the north, where Mount Lovćen and Mount Orjen plunge into the inlet of the Bay of Kotor.
Montenegro's large Karst region lies generally at elevations of 1,000 metres (3,280 ft) above sea level; some parts, however, rise to 2,000 m (6,560 ft), such as Mount Orjen (1,894 m or 6,214 ft), the highest massif among the coastal limestone ranges. The Zeta River valley, at an elevation of 500 m (1,600 ft), is the lowest segment.
The Constitution of Montenegro describes the state as a "civic, democratic, ecological state of social justice, based on the reign of Law. Montenegro is an independent and sovereign republic that proclaimed its new constitution on 22 October 2007.
The President of Montenegro (Montenegrin: Predsjednik Crne Gore) is the head of state, elected for a period of five years through direct elections. The President represents the country abroad, promulgates laws by ordinance, calls elections for the Parliament, proposes candidates for Prime Minister, president and justices of the Constitutional Court to the Parliament. The President also proposes the calling of a referendum to Parliament, grants amnesty for criminal offences prescribed by the national law, confers decoration and awards and performs other constitutional duties and is a member of the Supreme Defence Council. The official residence of the President is in Cetinje.
The Government of Montenegro (Montenegrin: Vlada Crne Gore) is the executive branch of government authority of Montenegro. The government is headed by the Prime Minister, and consists of the deputy prime ministers as well as ministers.
The economy of Montenegro is mostly service-based and is in late transition to a market economy. According to the International Monetary Fund, the nominal GDP of Montenegro was $4.114 billion in 2009. The GDP PPP for 2009 was $6.590 billion, or $10,527 per capita. According to Eurostat data, the Montenegrin GDP per capita stood at 41% of the EU average in 2010. The Central Bank of Montenegro is not part of the euro system but the country is "euroized", using the euro unilaterally as its currency.
GDP grew at 10.7% in 2007 and 7.5% in 2008. The country entered a recession in 2008 as a part of the global recession, with GDP contracting by 4%. However, Montenegro remained a target for foreign investment, the only country in the Balkans to increase its amount of direct foreign investment. The country is expected to exit the recession in mid-2010, with GDP growth predicted at around 0.5%.However, the significant dependence of the Montenegrin economy on foreign direct investment leaves it susceptible to external shocks and a high export/import trade deficit.
According to World Economic Forum's Global Competitiveness Report 2016-2017, financial market development in Montenegro is scored 4.2 out of maximum 7.0 and ranked 54th out of 138 analysed economies. Soundness of banks is scored 4.2 bringing Montenegro into the 103rd place, trustworthiness and confidence of financial market is scored 5.0 (26th place). Deposit Guarantee Schemes compensate certain deposits held by depositors of a bank that becomes unable to meet its obligations.
From a depositor's point of view it is important to know: if the depositor is eligible within the terms of the deposit guarantee scheme; if the depositor's bank is a participant in the deposit guarantee scheme; if the depositor's type of deposit is covered by the deposit guarantee scheme.
Moody's country ceilings for deposits specify the highest rating that can be assigned to local- or foreign- currency denominated deposit obligations of a bank or other deposit taking institution domiciled within that country. Foreign currency deposit ceiling for Montenegro] is B2 (highly speculative). Currently there are 16 credit institutions operating in Montenegro. All the credit institutions operating in Montenegro can be classified into several categories. Table 2 summarizes the number of banks in each category.
|Agriculture||Tobacco, potatoes, citrus fruits, olives, grapes; sheep|
|Manufacture||Steel making, aluminum, agricultural processing, consumer goods|
|Services (Including financial)||72.4% (2007 estimate)|
|Aluminium Plant Podgorica||Manufacturing|
|Port of Bar||Industrial|
|Komercijalna banka Budva||Banking|
|Jugopetrol Kotor||Oil & gas|
|Crnogorski Elektroprenosni Sistem||Power|
|Cork and wood|
|Iron and steel|
|Metalliferous ores and metal scrap|
|Medicinal and pharmaceutical products|
|Energy and petroleum products|
The Montenegro Stock Exchange (MNSE) is a stock exchange located in Podgorica, Montenegro. It is Montenegro's only stock exchange.
The MNSE was founded 1993, and is a member of the World Federation of Exchanges, Federation of European Securities Exchanges and Federation of Euro-Asian Stock Exchanges. As of 10 January 2011 it fully incorporated NEX Stock Exchange, also in Podgorica, forming a single Montenegrin capital market.
Trading on the MNSE consists of short and long term securities, six investment funds, bonds, and shares from government funds’ portfolios. The MONEX20 and MONEXPIF are the principal stock indices of the Montenegro Stock Exchange.
Montenegro Stock Exchange was established in June 1993, pursuant to the Law on Money and the Capital Market. The first shareholders of the Stock Exchange were the state itself and four national banks:
Montenegrobanka A.D. Podgorica;
Pljevaljska banka A.D. Pljevlja;
Beranska banka A.D. Berane;
Hipotekarna banka A.D. Podgorica
After that, in 1995, the Montenegro Stock Exchange harmonized its business activities with the Law on Stock Exchange, Stock Exchange Activities and Agents. In the meantime, there has been a redefinition of the State of Yugoslavia and certain authority of the federal institutions were taken by the institutions established in the Republic of Montenegro. Following the adoption of the Law on Securities, pursuant to its terms, the Montenegro Stock Exchange was recapitalized through the issue of new shares. After taking authority from Federal Commission of Yugoslavia for the Securities and Financial Markets, in December 2000, the Commission for Securities of the Republic of Montenegro, has given, after determining the fulfillment of all the necessary preconditions, the Montenegro Stock Exchange a business license. In the period from 1994 to 2000, the Montenegro Stock Exchange traded mostly gyro money and short-term securities, as it was allowed by the existing legislation. The first brokerage houses in Montenegro were established in 1996, and those were CG Broker, Holder broker and Monte Adria Broker. The transfer of authority of regulating securities markets from the Former Republic of Yugoslavia to its member states required the adoption of the Montenegrin Law on Securities, which did not regulate the issue of short-term securities or trading with them. In this manner, following the adoption of the aforementioned Law, in Montenegro Stock Exchange are trading long-term debt and equity securities.
On 20 September 2001, six Montenegrin financial institutions and Brokers Business Association founded the New Securities Exchange of Montenegro. In this period, the activities on the Montenegro Stock Exchange were running very low (due to the failure to meet the legal requirements for trade in securities). Montenegro Stock Exchange completed the final harmonization with the Law on Securities Montenegro in 2004, which led to a situation in which, until the end of 2010, there were two stock exchanges operating. The start of operations of the New Securities Exchange of Montenegro is significant because for the first time in Montenegro capital market transaction were executing by electronic trading system.
In the beginning of 2011, the two Montenegrin stock exchanges were integrated, through the merge of the New Securities Exchange of Montenegro to the Montenegro Stock Exchange. The first working day on the single Montenegro Stock Exchange was 10 of January 2011. In overall shareholder structure of the Montenegro Stock Exchange twelve financial institutions from Montenegro participate with approximately of 93% ownership.
Because of the crisis many companies fell into serious difficulties, which are manifested by declining levels of economic activity, insolvency increase, delays in settling wages and other obligations, as well as downsizing the number of employees.
As usual, the crisis hit the labour market, but the labour market did not react immediately, but with a certain delay. The explanation of this phenomenon can be found in the fact that during the boom years the companies accumulated certain reserves, so that their adaptation to the situation in the form of layoffs had been applied with a certain time delay, as the effects of the crisis deepened.
Because of these developments, a deterioration of social status of citizens occurred together with the increase in the number of poor people. After a period of rapid economic growth in which the poverty rate decreased from 11.3% in 2006 to 4.9% in 2008, as the direct consequence of the crisis the poverty rate rose to 6.8% in 2009 and 6.6% in 2010.
In the 9th century, there were three principalities on the territory of Montenegro: Duklja, roughly corresponding to the southern half, Travunia, the west, and Rascia, the north. In 1042, archon Stefan Vojislav led a revolt that resulted in the independence of Duklja and the establishment of the Vojislavljevi? dynasty. Duklja reached its zenith under Vojislav's son, Mihailo(1046–81), and his grandson Bodin (1081–1101). By the 13th century, Zetahad replaced Duklja when referring to the realm. In the late 14th century, southern Montenegro (Zeta) came under the rule of the Balši? noble family, then the Crnojevi? noble family, and by the 15th century, Zeta was more often referred to as Crna Gora (Venetian: monte negro). Large portions fell under the control of the Ottoman Empire from 1496 to 1878. Parts were controlled by Venice and the First French Empire and Austria-Hungary, its successors. From 1515 until 1851 the prince-bishops (vladikas) of Cetinje were the rulers. The House of Petrovi?-Njegoš ruled the country from 1697 to 1918. From 1918, it was a part of Kingdom of Yugoslavia, which was succeeded by SFR Yugoslavia in 1945, FR Yugoslavia in 1992, and subsequently by the state union of Serbia and Montenegro in 2003. On the basis of an independence referendum held on 21 May 2006, Montenegro declared independence on 3 June of that year, thus regaining its statehood.
Montenegro has no currency of its own. From 1996 the Deutsche Mark was the de facto currency in all private and banking transactions and it was formally adopted as Montenegro's currency in November 1999. The mark was replaced by the euro in 2002 without any objections from the European Central Bank (ECB).
The European Commission and the ECB have since voiced their discontent over Montenegro's unilateral use of the euro on several occasions, with Amelia Torres, a spokesperson for the European Commission, saying "The conditions for the adoption of the euro are clear. That means, first and foremost, to be a member of the EU. A statement attached to their Stabilization and Association Agreement with the EU read: "unilateral introduction of the euro was not compatible with the Treaty.
The EU insists on the strict adherence to convergence criteria (such as spending at least 2 years in the ERMII system) which are not negotiable before euro adoption, but have not intervened to stop the unilateral use of the euro by Montenegro. The EU has raised concerns of Montenegro's state debt, which had risen to 57 percent of GDP by 2011.
Officials from the Central Bank of Montenegro have indicated on several occasions that the European institutions do expect them to strictly follow ERM rules, particularly because of their EU accession process. Nikola Fabris, chief economist of the Central Bank of Montenegro, has said that the situation was different when they adopted the euro, and that other states which were considering unilaterally adopting the euro, such as Croatia and Bosnia and Herzegovina, would face sanctions from the EU and have their accession process suspended if they went ahead.
On 17 December 2010 Montenegro was granted candidate status to join the European Union. The issue is expected to be resolved through the negotiations process. The ECB has stated that the implications of unilateral euro adoption "would be spelled out at the latest in the event of possible negotiations on EU accession. Diplomats have suggested that it is unlikely Montenegro will be forced to withdraw the euro from circulation in their country. Radoje Žugi?, Montenegro's Minister of Finance, has stated that "it would be extremely economically irrational to return to our own currency and then later to again go back to the euro. Instead, he hopes that Montenegro will be permitted to keep the euro and has promised "the government of Montenegro will adopt some certain elements which should fulfill the conditions for further use of the euro, such as adopting fiscal rules.
Unlike official members of the euro-zone, Montenegro does not mint coins and therefore has no distinctive national design.
|National Song||"Oj, svijetla majska zoro"|
|GDP / GDP Rank||10.361 Billion USD|
|GDP Growth Rate||4.1 Percent|
|GDP Per Captial||$16643.181 (PPP)|
< 1.0% Hindus
< 1.0% Buddhists
< 1.0% Jews
< 1.0% Other Religions
President – Milo Đukanović
Prime Minister – Duško Marković
|Website||Go to the web|
|Public Debt||71.323 Percent|
|Unemployment Rate||17.492 Percent|
|Labor Force (Occupation)||-|