American Chamber of Commerce in Montenegro (AmCham) organized a business luncheon with the Minister of Finance, H.E. Darko Radunović. The event was attended by AmCham member companies, representatives of the diplomatic corps, representatives of state and local governance as well as the representatives of international organizations.

President of AmCham Montenegro, Ms. Katarina Bulatović held an interview with the Minister of finance. Ms. Bulatović addressed the Minister with some of the most important questions, of AmCham members, regarding the current fiscal policy of Montenegro and its effects on the business environment.

In this regard, they discussed the topic of the planned activities of the Ministry of Finance this year.

President pointed to the importance of the new program “Partnership for a Better Business Environment”, which commenced realization in April of the current year, with the member companies and the Ministries of The Government of Montenegro. The aim of this Partnership program is to enhance mutual understanding between the public and private sectors in Montenegro, which should result in efficient removal of business barriers, a rise in the quality of legal acts texts and their better implementation, by both Government departments and the private sector

The main shortcoming of the fiscal system of Montenegro, in the view of AmCham membership, is a lack of predictability and transparency of fiscal policy, said Bulatovic. She pointed out that our member companies, face challenges such as the selective application of tax regulations and the lack of enforcement by inspectors of the Tax Administration, collision bylaws with the law, as well as the retroactive application of the law.

On the behalf of US Embassy in Montenegro, the guests were addressed by the Ambassador, HE, Margaret Ann Uyehara who pointed out that the frequent changes in the tax structure and tax policy are restrictive for the development of business and investment plans. On the other hand, she said, communication and cooperation between the private sector and the government, lead to a more transparent and predictable business environment.

Ambassador Uyehara added that the transparent, sustainable and predictable tax system, is simulative for the recruitment and retention of the existing domestic and foreign investors and concluded that she is convinced that the improvement of fiscal policy will further promote Montenegro as an attractive destination for business.

Minister of Finance, H.E. Darko Radunović responded to questions of importance to the membership of AmCham and overall Montenegrin business community.

During the interview, the Minister stated that the improvement of the investment climate as a prerequisite for economic growth is in the key reform of the administrative system and regulatory framework. Radunović pointed to the goals of the reforms, whom the Government of Montenegro has lead and settled up as their task. He expects that the realization of them will be intensified in the fore coming period. The goals include creation and simplification of procedures, modernization of state governance as well as efficient administration.

These reformatory processes are especially significant for smaller countries with open markets such as Montenegro, in the context of strengthening the entrepreneur’s initiative and the overall attractiveness for the foreign investments added the Minister. „Governments priority in the area of business climate is the building of a stable, predictable business environment, which will be attractive for business and investments“, concluded the Minister of Finance.