The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation.
Government is yet to share details on expected start of application of economic measures. Most of the announced measures are yet to be published in the Montenegrin Official Gazette. We highlight the following most significant measures:
- Deferral of repayment of loans to commercial banks, micro-credit institutions and Investment Development Fund (IFD) up to 90 days (90 day moratorium) granted on the basis of borrower’s request. This measure applies to both corporate and individual borrowers and relates to payment of loan principal, interest and fees as well as late payment interest. This measure was published in the Montenegrin Official Gazette as of 19 March 2020 and starts to apply as of 20 March 2020;
- Deferral of payment of personal income tax and mandatory social security contributions and other tax liabilities in line with the Law on Rescheduling of Tax Receivables. No details are currently available. This measure is yet to be published in the Montenegrin Official Gazette;
- 90 days deferral in payment of rental fees for state owned properties. No details currently available. This measure is yet to be published in the Montenegrin Official Gazette;
- Ban on initiation of public procurement processes except those needed for operating of the healthcare system. No details currently available. This measure is yet to be published in the Montenegrin Official Gazette;
- Advance payments for works relating to existing capital projects are to be secured by bank guaranties for the full amount of advance payment. Measure is aimed at ensuring liquidity needed for continuity of planned works. No details currently available. This measure is yet to be published in the Montenegrin Official Gazette.
In addition to these measures, Montenegrin Tax authorities published on its website on March 17, 2020, the decision to extend the deadline for filling of statutory financial statements and corporate income tax returns from 31 March 2020 to April 15, 2020. It is important to note that the decision to extend the statutory deadline relates solely to the filing of financial statements and corporate tax returns, but not to the payment of corporate income tax liability.
At this point Montenegro did not introduce state of emergency due to Covid-19 outbreak.
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