The Central Bank of Montenegro (CBCG) submitted its application on April 14 to the European Payments Council (EPC) for joining SEPA (Single Euro Payments Area). Several systemic banks, representing 53.4% of the market, have done the same, with the rest expected to follow by May 15, 2025. Full operational integration is planned for October 6, 2025.
This move will enable faster, cheaper, and more secure cross-border payments between Montenegro and SEPA member countries. At a meeting between CBCG Governor Irena Radović and banking sector leaders, it was emphasized that this integration is a major step in modernizing the country’s financial infrastructure.
Governor Radović highlighted that banks implementing transparent and cost-effective SEPA models early will strengthen their market position, while those sticking to outdated systems risk losing competitiveness and clients.
The meeting also addressed migration to the ISO 20022 standard for more accurate and automated transaction processing, and discussed the upcoming TIPS Clone project—an instant payment system aligned with EU standards, developed in partnership with the European Central Bank and the Bank of Italy.
According to CBCG’s economic analysis, SEPA integration could deliver €37.9 million in annual economic benefits—equivalent to 0.54% of GDP—through reduced fees, operational cost savings, and improved remittance formalization. Combined with the TIPS Clone system, the potential annual added value could reach €160 million or 2.3% of GDP, driven by increased digitalization, financial inclusion, foreign investment, and enhanced competitiveness in tourism and exports.
The initiative is seen as a transformative step toward building a modern, EU-aligned financial ecosystem in Montenegro.
