Montenegro, limits on foreign control and right to private ownership and establishment

Montenegro’s Foreign Investment Law, which was adopted by the Parliament in 2011, establishes the framework for investment in Montenegro. The law eliminates previous investment restrictions, extends national treatment to foreign investors, allows for the transfer and repatriation of profits and dividends, provides guarantees against expropriation, and allows for customs duty waivers for equipment imported as capital-in-kind. There are no limits on foreign control and right to private ownership or on establishing companies in Montenegro. There are no institutional barriers to foreign investors, including U.S. businesses. As an aspiring EU Member State, Montenegro monitors and implements best practices regarding foreign investments, according to government officials, but the country still has no screening mechanism for inbound foreign investment in Montenegro. Montenegrin officials have stated the Government’s intention is to have a screening mechanism in place for investment in strategic national security sectors by 2023.