Barska Plovidba, a key player in Montenegro’s maritime industry, has made a significant payment of $1.6 million to the Export-Import Bank of China. This transaction is part of the company’s ongoing debt-servicing obligations for financing two bulk carriers, named Bar and Budva. The payment represents the largest segment of the current semi-annual installment and was executed using the company’s operational funds.
The management at Barska Plovidba indicated that an additional amount of approximately $0.18 million from this installment is anticipated to be settled shortly, contingent upon receiving charter income from the vessel Budva. Following this payment cycle, the remaining principal on the loan is projected to be around $23.3 million.
This loan was originally secured from the Chinese lender under a long-term repayment plan that extends until 2033. To date, Barska Plovidba has repaid a total of $34.8 million, primarily funded by the company itself. In previous years, state intervention was necessary to assist with repayments during times of liquidity challenges.
The company’s recent ability to service its current installment predominantly through operating revenue is viewed as a positive sign of improved financial discipline and operational stability. This comes after several years characterized by fluctuating charter rates and high maintenance costs.
Barska Plovidba’s debt levels and repayment patterns are under continuous scrutiny, particularly due to the broader implications for Montenegro’s maritime sector, which remains vulnerable to legacy foreign-currency loans. The recent payment by Barska Plovidba serves as an indication of its strengthening capability to fulfill long-term financial commitments without relying on extraordinary fiscal support.
