The World Bank expects that, during 2019 and 2020, Montenegro will record average economic growth of 2,6 %, which will be a consequence of the fall in investments in the sector of transport and reduction of personal consumption, reads the most recent Western Balkans Regular Economic Report.
Senior economist, Mark Sifbauer, presented a document entitled “Higher, but more sensitive growth”, and said that economies of six Western Balkans countries will increase by 3,5 % this year. As far as our country is concerned, it is projected to be 3,8 % – a point higher than earlier projections, after new private and public investments and record results in tourism. However, according to the estimates of the World Bank, the continuation is not that optimistic.
“With slowing down of investments, GDP will simultaneously go down”, said Sifbauer.
Everything was followed by increase in employment and earnings. Tourism and export of metal products as a response to growing demand of the EU alleviated to some extent extremely high import. Tourism, retail trade and construction were lading growth factors in 2018 but significantly strengthened with the investments.
The document suggests that “enhancement of production potentials as well as new investments of private sector can produce full development of Montenegro”.
