Montenegro’s major road investments are attracting international and regional contractors as infrastructure spending across the Balkans increases, placing greater emphasis on procurement transparency and monitoring of subcontracting arrangements.
Budva bypass contract
Montenegro’s €237.47 million Budva bypass contract, including VAT, involves Briv Construction, Hering, Herc Gradnja, IPSA Institut and Shandong. The project covers approximately nine kilometres, with a 48-month deadline for design and construction. Shandong is also the main contractor on sections of Serbia’s Vožd Karađorđe corridor, a project valued at approximately €1.31 billion, demonstrating the contractor’s participation in infrastructure projects across national markets.
Mateševo–Andrijevica motorway section
Another major Montenegro project is the Mateševo–Andrijevica motorway contract, valued at approximately €694 million. The selected POWERCHINA–STECOL–PCCD consortium is responsible for construction of the 23.5-kilometre section. Financing includes a €200 million loan from the European Bank for Reconstruction and Development and a €150 million EU grant.
Monitoring of contracts and subcontractors
Recent analysis by Standard has drawn attention to subcontracting arrangements in large Balkan infrastructure projects, while noting that participation by companies from different countries does not in itself establish wrongdoing. European auditors have identified weaknesses in the monitoring of transport investments across the Western Balkans, including issues involving project monitoring, data updates and reporting of delays. As infrastructure spending increases, oversight extends beyond the selection of tender winners to payments, subcontractors and contract amendments throughout project implementation.
