Montenegro recorded a budget deficit of €124.2 million in the first nine months of 2026, equivalent to approximately 1.4% of estimated GDP, as public expenditure reached around €2.44 billion and revenue totalled €2.32 billion.
Although the shortfall widened compared with the same period a year earlier, it was €56.9 million lower than the government’s planned deficit for the nine-month period.
Government expenditure increased by approximately 11.7%, exceeding the 10.3% growth in budget revenue. Social-protection transfers represented the largest spending category, at €851.8 million, followed by gross salaries and employer contributions, which totalled €534.3 million.
Capital expenditure reached €278.5 million, recording particularly strong growth, while interest payments amounted to €128 million. The spending structure includes both regular government obligations and investment outlays intended to support future economic activity.
The Finance Ministry reported a current-spending surplus of €154.3 million, indicating that revenue exceeded expenditure when capital spending was excluded. This balance measures the extent to which current revenues cover the government’s day-to-day operations, but it does not remove the overall budget deficit or the financing requirements associated with capital investment, debt servicing and other obligations.
Montenegro also recorded a €22 million budget surplus in September. Monthly balances can vary depending on when revenues are collected and expenditure payments are made. The fiscal position combines stronger revenue collection with faster implementation of capital expenditure, while social transfers and interest costs continue to account for substantial budget resources.
The final 2026 result will depend on revenue performance during the remaining months, the timing of major capital payments and the government’s capacity to manage growth in recurring expenditure. The economic returns generated by capital projects will also be relevant to assessing their contribution against the cost of financing.
