Montenegro has secured an €850m loan to settle old debts, Finance Minister Novica Vukovic has announced.
The loan, issued under favourable conditions with a 4.875% interest rate over 7 years, will help repay obligations due by the end of 2025, primarily focusing on debts from previous administrations. Vukovic has emphasized that this borrowing is solely for debt refinancing, not for consumption, protecting the fiscal stability of the country.
The successful bond issue reflects investor confidence and Montenegro’s credibility, with demand three times higher than the planned amount. The loan will cover significant debt repayments, including T-bills from 2018 and loans from the World Bank, Exim Bank, Deutsche Bank, national commercial banks and the IMF.
