Montenegro’s investment structure has changed dramatically over the past decade, with capital increasingly flowing into real estate rather than sectors that generate jobs, knowledge and long-term economic value, the Foreign Investors Council has warned.
Productive investments once accounted for half of total investment, but their share fell to just 13% in 2025. Political representatives agree that reversing the trend will require a more predictable business environment, lower fiscal and parafiscal burdens, and greater stability in tax policy.
Boris Mugosa of the European Alliance said Montenegro urgently needed a clear 10-to-20-year development strategy, as frequent policy shifts made it difficult for investors to prepare reliable business plans. He also called for reforms to the public procurement system.
Tonci Janovic of the Europe Now Movement highlighted opportunities in manufacturing, renewable energy, technology, tourism and IT. He noted that foreign direct investment exceeded €1 billion in 2025, while Montenegro remains one of Europe’s most affordable investment destinations.
Rather than discouraging real-estate investment, policymakers should introduce stronger incentives to redirect capital toward productive industries. EU membership is also expected to attract more credible, long-term investors.
