LocationsIntegrated local development
Summary:
Among the main priorities in its implementation of economic development policy, the Government of Montenegro recognized to need to increase the competitiveness of economy, offer new job possibilities, attract investors and overcome regional disparities in the country. With the view of achieving these objectives, the Government has established a close cooperation with UNDP Montenegro since 2014, thus initiating the creation of a business climate that purports to place Montenegro as one of the leading business and investment destinations in the Southeast Europe. In order to address these challenges, the Government of Montenegro and UNDP are focused on implementing reform measures targeted at improving business environment, development of MSMEs, and reinforcing employability through increasing competitiveness and productivity.
Objectives:
In the scope of the project, UNDP Montenegro is developing a two-fold intervention:
- One part of the intervention is acting on the improvement of the capacities and competences of the local self-governments, particularly in regard to their strategic planning and policy making process, as well as deepening of their relationships with other municipalities, local stakeholders, MSMEs and potential investors.
- The other part of the intervention is aimed at the provision of direct support to entrepreneurs and MSMEs by means of increasing productivity of their work and competitiveness at the national and international markets. The planned impact of the joint work of the Government of Montenegro and UNDP aimed at enhancing business environment and removing business barriers will, in turn, make the country stand out among the investment destinations in the Southeast Europe regarding its conducive business climate. These endeavors are in line with EU accession priorities for the country, as well as with the targets defined under SDG 8 – Decent work and economic growth.
Activities:
Project activities are implemented by UNDP Montenegro, in a close cooperation with the Ministry of Economy as the main national stakeholder, and they are organized around five general components:
- Developing capacities of local self-governments in the establishment, regulation, management and promotion of business zones;
- Enhancing competitiveness of MSMEs in Montenegro through reinforcing the process of joining in clusters, particularly by means of the implementation of the Cluster Development Programme;
- Supporting municipalities in drafting and adopting Strategic development plans;
- Supporting entrepreneurs and MSMEs, in particular through the design, offering and presenting nine programmes of financial and technical support in all Montenegrin municipalities – “Caravan of good business opportunities” (“Business caravan”);
- Developing guidelines and strategic framework for establishing a national brand in Montenegro and its promotion, as well as encouraging Montenegrin citizens to purchase domestic products, thus boosting the overall national economic development.
Results:
As defined in the Country Programme Document (CPD) for Montenegro 2017-2021, the expected results of the project will be the enhanced regulatory framework and business climate, which will in turn encourage sustainable investments and improve competitiveness, thus reducing regional inequalities. The project will result in the provision of support to the Government’s efforts to boost economic development, through advocacy and policy advice for development of micro, small and medium sized enterprises (MSMEs), promotion of cluster development, creation of an enabling environment for entrepreneurial development, stronger partnerships with the private sector and strengthening local capacities for developing and managing national/municipal business zones. The joint activities of UNDP and Government of Montenegro will also result in the gradual transition of informal economic activities into the regular economy and job creation at the national level.
Relevant links:
Cutting redtape - no barriers website
