06 October 2018 - The latest World Bank regular report for the Western Balkans projects that the growth in this region in 2018 will be 3.5%, while the growth of each country, including Montenegro, will range from 2.5% to 4%.
Even though the employment rate increased in 5 out of 6 countries of the region, a total of 91,400 created jobs from July 2017 to July 2018, meaning their number was much lower compared to last year. New employment happened mostly in industry and services.
The report also suggests there should be a greater economic integration, aiming to spur sustainable growth and bolster job creation. It also emphasizes better integration among the WB countries would be needed, especially in the areas of trade, investments, mobility and digital integrations, thus ensuring growth and long-term economic stability.
"Throughout the region, we are witnessing growth supported by public investment and consumption. Countries that have had faster investment growth have also recorded faster growth. While non-targeted social benefits and wages in the public sector have had a positive impact on growth in the short term, they also increase fiscal sensitivity. Increasing private investment and exports is a more sustainable way of growth," as reported by Linda Van Gelder, World Bank Regional Director for the Western Balkans.
