At the end of 2006 the foreign debt of Montenegro amounted to €701 million, whereas on December 31st 2014, it exceeded €2 billion. In terms of the debt, Montenegro owes most for the issue of Eurobonds – as much as €647 million, “Dnevne novine” daily carried.
The debt to the International Bank for Reconstruction and Development (IBRD) amounts to €229 million and to Credit Suisse Bank another €204 million.
We owe almost €104 million to the European Investment Bank and we have to repay €98.8 million to the Paris Club creditors.
“In terms of the structure of debt developments, during the period from 2009 to 2014, a growth of debt was recorded, mainly due to deficit financing. When it comes to debt policy, before beginning of the crisis in terms of foreign debt, Montenegro mostly relied on the provision of funds from international financial institutions for implementing capital projects. The funds were provided under relatively favourable credit terms, i.e. with a longer repayment period and lower interest rates,” the Government explained.
