Economic performance

The gross domestic product of Montenegro in the first quarter of 2023 was 1,220.0 million euros, while in the same period of the previous year it was 1,032.0 million euros.

The real GDP growth rate in the first quarter of 2023 was 6.1%..

In 2022, net FDI amounted to 782.64 million euros or 34.56% more than in the previous year and make up 13.50% of GDP. The growth mainly derives from investments in real estate, where an increase of 169.73 million euros was recorded compared to the previous year. The total inflow of FDI amounted to 1,151.42 million euros (or 24.07% more than in 2021), of which equity investments amounted to 667.42 million euros. In the structure of equity investments, investments in companies and banks amounted to EUR 219.40 million (2.01% growth), while real estate investments amounted to EUR 448.02 million (60.99% growth). The most significant investments have come from Italy, Hungary, China, Russia, and Serbia, with investments also coming from the United Arab Emirates, Azerbaijan, Turkey and the U.S.

Structure of the economy

Small and medium-sized enterprises are the backbone of Montenegrin economy, accounting 99% of the total number of economic operators. SMEs generate more than 78% of gross added value and employ 74% of employees.

Largest number of Montenegrin companies operate in wholesale, retail and reparation of vehicles (27,4%), folwed by scientific, professional and technical activities (13,7%), hospitality services (12,0%) and construction (11,5%). Manufacturing industry participates in the Montenegrin economy structure with 6,7%, ICT with 6% and agriculture, forestry and fisheries with 1,1%.

Trade

Total international trade of Montenegro, in 2022, amounted to EUR 4,234.1 million, demonstrating a 43,9% growth compared to 2021. Value of the export was EUR 700.3, and imports EUR 3,533.8 million. The structure of exports is characterized by a high share of mineral fuels and lubricants, while import is dominated by machinery and transport equipment.

EU and CEFTA members trade is dominant in overall Montenegrin trade. Main trade partners in export include Serbia, Switzerland, Bosnia and Herzegovina, while largest import partners entail Serbia, China and Greece.

Workforce

The educational structure of employed persons shows that 58.3% of persons have completed high school, followed by employees with completed higher or higher education 35.6%, and persons with completed elementary school or lower education 6.1%. Active labor force with tertiary education entails almost 31% of BSc, MSc or PhD degrees holders. The structure of employed persons by activity sector shows that the highest participation of employees in the service sector is 77.2%, then in the non-agricultural sector (industry and construction) 18.6% and in the agriculture, forestry and fishing sector 4.2%.

The educational structure of unemployed persons shows that 73.2% of persons have completed secondary school, followed by unemployed with completed higher or higher education 21.9%, and persons with completed elementary school or lower education 4.9%.

Unemployment rate, even though reduced in comparison with the previous year, is still relatively high - 12,6%. Majority of employees work in the service sector, dominated by retail and wholesale (19,3%), hospitality (10,6%) and transport (6,7%). Manufacturing industry employs 6% and agriculture 4,5%. Professionals represent almost 27% of the active labor force, while still almost 25% of unemployed hold BSc, MSc or PhD degrees.

In 2022, Montenegro issued more than 11,000 work permits for foreigners. For the procedure of attainment of residence permit and work permits, follow the links.

Average gross salary of the employees in Montenegro is EUR 993, while net amounts to EUR 797. Highest salaries are paid to employees in the financial and energy sectors, followed by ICT and real estate sectors. Manufacturing industries pay, on average, EUR 772 gross salary on a monthly basis, of which EUR 631 is a net salary.

If you see videos on CNN, EuroNews or another big TV station where you can ski both on the sea and on the mountain at the same time of the year, don't be fooled into thinking that this is a country that stretches through several climatic and geographical zones. In one small area at a distance of only a hundred kilometers, these belts merge into a unique experience for every visitor.

Connectivity

Today, Montenegro is one of the most interesting points on the world tourist and business maps. Connectivity with the world and the region is secured through two airports, in Podgorica and Tivat, and three ports - Bar, Kotor and Zelenika. Port of Bar is the largest port in Montenegro, connecting Montenegro with the whole world, enabling large cargo shipments. The port of Kotor is located in the Bay of Kotor suitable for hosting large international cruisers. The port of Zelenika is smaller then other ports, and is also located in the Bay of Kotor.

A total of 7,000 km of roads enables both internal and international connectivity, of which around 1 850 km consists of main highways and regional roads. Montenegro’s railway network consists of three (mostly) electrified, standard gauge railway corridors with a total length of 150 km suitable for both passenger and cargo transport.

On the Montenegrin coast, there are a large number of marinas, which are equipped to accommodate even larger tourist yachts. Among the better equipped marinas are: Ulcinj, Bar, Budva, Tivat, Kotor, Zelenika and Herceg Novi.