Montenegro recorded a consolidated budget deficit of €2.50 million in August, equivalent to just 0.03% of estimated GDP, as a sharp increase in expenditure was largely offset by higher public revenue. Total consolidated budget expenditure reached €291.08 million, representing an annual increase of 23.71% and exceeding the planned amount by 18.36%.
Capital expenditure accounted for a substantial part of the increase. Spending on capital projects totalled €63.36 million, which was €37.49 million above the monthly plan and €38.81 million higher than in August 2025.
Pension payments were the largest expenditure category, reaching €69.18 million. Capital spending was the only other expenditure item highlighted at a comparable scale in the August fiscal bulletin. On the revenue side, Montenegro collected €288.58 million in source revenues, up 10.98% year on year, although the amount remained 2.55% below plan. Tax revenue increased by 11.96%, supported in particular by a 22.34% rise in excise receipts. Higher revenue collections therefore covered most of the additional expenditure, keeping the monthly budget balance close to zero. The August accounts show that the small deficit coincided with a significant expansion in public spending, particularly capital expenditure, while revenue remained below the planned level despite annual growth.
