The Central Bank of Montenegro (CBCG) has released preliminary data indicating a notable outflow of foreign investment totaling €413.18 million over the past year. This figure reflects substantial capital movements, despite a robust inflow of foreign direct investment (FDI) during the same period.
According to the CBCG’s recent bulletin, the total FDI inflow for the first eleven months reached €867.15 million, marking an 8.08 percent increase compared to the previous year. After accounting for the outflows, the net FDI inflow stood at €453.97 million, which represents only modest growth relative to the prior year.
The outflows were primarily driven by two components: investments made by Montenegrin residents abroad, totaling €111.23 million, and withdrawals by non-resident investors amounting to €301.95 million. The latter accounted for a significant portion of the total outflow, underscoring the impact of non-resident capital movements on Montenegro’s economy.
On the inflow side, equity investments comprised the majority, amounting to €543.6 million or approximately 62.7 percent of total FDI. Within this category, real estate attracted the largest share with €437.93 million, followed by investments in companies and banks totaling €105.67 million.
Additionally, intercompany debt financing contributed €287.73 million to inward investment, reflecting an increase of nearly 10 percent compared to the same period last year. Other investment instruments also played a role in capital flows associated with withdrawals and returns from abroad.
The data highlights ongoing interest from foreign investors in Montenegro’s economy, particularly within the real estate and corporate sectors. However, the substantial outflows—primarily driven by non-resident withdrawals—illustrate the dynamic nature of cross-border investment patterns that continue to influence Montenegro’s external financial position as it seeks deeper integration into European markets.
