The World Bank has approved an EUR 8 million loan to Montenegro aimed at modernizing the country’s digital payments infrastructure. The project seeks to expand access to digital financial services for both businesses and consumers, as well as reduce the costs of domestic and international transactions.
The initiative, named the Montenegro Financial Infrastructure Modernization and its Alignment with Single Euro Payments Area (SEPA) Standards Project (TIPS Clone Project), will support the introduction of fast or near-instant digital transactions. This is expected to make financial services more accessible across Montenegro.
According to the World Bank, by updating its payments infrastructure and reducing transaction costs—especially important in an economy that relies heavily on international monetary inflows—Montenegro could see a one-third increase in digital payment usage before 2030. The project aims to reach an additional 110,000 people, including 70,000 women.
A key focus will be on the estimated 15% of Montenegrins who remain unbanked. These individuals currently live outside the formal financial system without access to transaction accounts or digital payment tools, making them more vulnerable financially and limiting their ability to obtain credit.
“Modern payment systems can greatly facilitate economic growth in Montenegro, enhancing the competitiveness of Montenegrin businesses," said Xiaoqing Yu, World Bank Division Director for the Western Balkans. "Advancing fast payment systems is not only a technical upgrade, but also a step toward deeper regional economic integration of the Western Balkans."
The project includes helping Montenegro adopt the Target Instant Payment Settlement (TIPS) clone solution developed by Banca d’Italia with support from the Eurosystem. This move will ensure compatibility with pan-European fast payment systems and speed up Montenegro’s financial integration with the European Union.
This effort forms part of a broader World Bank strategy supporting modernization of financial sectors in the Western Balkans and aligns with Montenegro’s Country Partnership Framework for 2025–2029, which emphasizes competitiveness, regional cooperation, and sustainable growth.