16 March 2019 - Credit Rating Agency Standard & Poor's recently published a new Report for Montenegro which confirmed the rating of the country, which is marked as "stable" while preserving the rating B + / B.
The fact that the credit rating agency Standard & Poor's has confirmed the rating given to Montenegro in 2018 for the third time, points to the expectation that after the fourth confirmation, the country’s credit rating could increase.
By confirming Montenegro's stable credit rating, another relevant global institution recognized the seriousness of implementing fiscal consolidation measures, as well as the overall increase in economic activity resulting from the improvement of general business conditions within the country. According to the Report, the current position of Montenegro on the rating list is the result of a strong economic growth that continued in 2018, estimated at 4,7%, based on the development of tourism, energy and infrastructure, and more specifically, the progress on the construction of the highway that will, as it is said, contribute to regional cohesion and security improvement.
An important backbone of Montenegro’s future development, the Report suggested, is the implementation of a significant number of foreign direct investments over the past five years, which amount to over 10% of GDP at the average level.
Analysts point to the strong institutional position of Montenegro in the region as well as the potential for further development through the structural reforms that the country is currently implementing to join the European Union. According to the report, the important activities for achieving the Government's goals are the continuation of the implementation of fiscal consolidation measures, the reduction of the budget deficit and the reduction of public debt.
