Six Montenegrin banks—NLB, Erste, CKB, Prva banka, Hipotekarna banka, and Universal Capital Bank—will partner with the Ministry of Finance on the country’s first retail bond issuance. The project aims to revitalize the domestic capital market and provide citizens with a secure and profitable way to invest their savings.
The planned bond issuance is valued at 50 million euros and will allow citizens to directly invest in government securities for the first time, offering an expected return of around 3%, higher than average bank deposit rates of 1.4% to 2.18%. The program will be widely accessible through partner bank branches, with all fees covered by the Ministry of Finance.
For the government, the bonds provide a cheaper form of borrowing compared to international markets, with proceeds earmarked for debt repayment and infrastructure projects. The initiative also aims to encourage financial literacy, foster a new investment culture, and stimulate activity in Montenegro’s relatively inactive capital market. The bonds are expected to have a maturity of two to three years, with potential future access extended to legal entities.
