Foreign direct investments were 317 millions of euros in the first nine months, and until the end of the year we are expecting that they will come to a number o 410 millions of euros. In the 2007 we are expecting over 500 millions of direct foreign investments – says Petar Ivanovic
Podgorica – in the first nine months of this year, in Montenegro, there were over 3.000 foreign investors registered, of whom 1/3 were registered in Podgorica, where on 171 citizen we have one foreign company.
The director of Montenegrin Agency for promotion of the investments of MIPA PhD Petar Ivanovic, has announced that for the first nine months of this year the number of foreign companies got increased for 1.339 compared to the 2005, and that in the next year the number of foreign companies will come up to 3.500.
– Direct foreign investments for the first nine months were 317 millions of euros, and until the end of the year they will reach the amount of 410 millions of euros. In the 2007 we are expecting over 500 millions of direct foreign investments – said Ivanovic.
In that case, Montenegro would have 590 up to 800 euros of foreign investments per capita, which would place her on a second place in Europe.
Montenegro, according to the amount of the investments per capita, has ended up last year as a third country in Europe, after Estonia and Czech Republic.
– The projection of 500 millions of euros does not include the signing of a contract with Aman resorts and PM security about the lease of the hotels Milocer, Kraljicina Plaza (Queen’s beach), and Sveti Stefan as well as the purchase of the Tivat’s Arsenal – pointed out Ivanovic.
According to his words, all the companies that come to Montenegro, are not doing that just to register themselves, but to be in business, and that doesn’t have to mean that they will immediately start investing.
– Observed by towns, the greatest number of direct investments is in Podgorica – 33%, then in Budva – 20%, Bar – 10%, Kotor – 9%, Herceg Novi – 7%, and in Ulcinj – 6%. The only town in Montenegro that hasn’t managed to draw the attention of the investors is Pluzine – said Ivanovic.
He especially mentioned the example of Budva, which has 10 times less citizens than Podgorica, and one foreign firm per 26 citizens.
– Seen by the quartiles, in the first quartile 6 millions of euros of direct foreign investments were marked, in the second it was 101 million of euros more, and in the third it was 317 millions of euros. If we observe by the regions, the central region has drawn 61,2%, the south 30,1%, and the north region managed to draw 8,7% of the investments – explained Ivanovic.
According to the records from MIPA, now in Montenegro we have investors from 58 countries, and until the end of the year we expect a number of 60 to be surpassed.
– According to the value of the investments Norqay, Austria, Russia, Slovenia and Hungary stand out, and the investors from those countries have invested much more money than the others in the previous year. In addition, the most attractive sector was the sector of banking which managed to draw 36% of the investments, then tourism which managed to draw 22% and the industry 11% – stated Ivanovic.
After 4 poles of the investors in Montenegro MIPA saw as a serious problem for them the Law of work, which is rigid to the investors, and protective towards the employees.
Another problem is the getting the licenses and permits, above all for the reconstruction and construction, because those procedures are extremely long and expensive, and the investors have pointed out the unclear regulation about the free shopping zones. There are serious problems in the under law acts, that is, procedures for the registration of the firms in such zone in Bar – explained Ivanovic.
He pointed out as a problem also the inexistence of the transparent urban plans, which is a main obstacle for drawing of the new, green field investments.
MIPA comes to data through a direct contact with foreign investors, in difference to the Central bank, which observes the transfers of money and it follows only the investments, but not the expenses, that is, individual investments in real estates.