Spajić: The “Euro-model” is key to preventing an exodus after EU entry

_{Photo: Government of Montenegro / Vlada Crne Gore}

Montenegro’s Prime Minister, Milojko Spajić, said after meeting representatives of the Employers’ Union that an agreement has been reached on how the Euro-model will be implemented in Montenegro.

He stressed that the reform is meant to prepare the Montenegrin economy for European Union membership and for entry into the European single market.

Spajić said EU membership will bring Montenegro fiscal support and major opportunities for the economy, but also warned of challenges — particularly the risk of the workforce leaving for Western countries in search of higher wages.

According to him, some countries that joined the EU have lost more than 20 percent of their population, and in certain cases up to 25 percent.

He said the issue is especially important for northern Montenegro, where labor shortages and depopulation are among the main problems.

Prime Minister Spajić added that talks will be held with various business associations on implementing the Euro-model, since each sector has its own specific demands and problems. He also stressed that, for the first time, the state will have incentives similar to those of employers, while its revenues will rely more on growth in companies’ turnover and profits.