Montenegrin municipalities today have access to more than twenty different European Union funds and programmes, providing opportunities to finance projects in almost all areas of local development. From infrastructure, cultural facilities, and kindergartens to digital services, environmental protection, and green policies, EU funds are becoming a key source of investment for local communities across the country. According to the Guide to Available EU Funds for Local Governments in Montenegro, authored by Vanja Starovlah and prepared within the framework of the “Municipalities for the EU” project, municipalities have at their disposal a wide range of financial instruments covering between 80 and as much as 95 percent of total project costs, which represents significant relief in circumstances where local budgets are limited.
The most significant source of support remains the Instrument for Pre-Accession Assistance – IPA III for the 2021–2027 period. This fund enables municipalities to implement projects in the fields of transport infrastructure, waste and wastewater management, sustainable tourism, energy efficiency, and the strengthening of administrative capacities. Cross-border programmes also play a particularly important role, such as Interreg South Adriatic, Interreg Croatia–Bosnia and Herzegovina–Montenegro, and the Adriatic-Ionian Programme ADRION. These programmes create opportunities for interregional partnerships, knowledge exchange, and access to a larger volume of European funding, especially for projects that exceed the capacities of individual municipalities.
In addition to IPA funds, Montenegrin local self-governments also have access to key European Union programmes intended not only for Member States but also for countries in the accession process. Among them is Horizon Europe, the EU’s largest research and innovation programme, through which municipalities can develop smart solutions, digital services, energy efficiency projects, and public sector modernization initiatives. The LIFE programme provides support for nature protection projects, climate action, clean energy, and the circular economy, while the CERV programme covers the strengthening of local democracy, citizen participation, the fight against discrimination, and the protection of human rights.
For the cultural sector, the Creative Europe programme is particularly important, as it enables municipalities to finance the work of cultural institutions, the organization of festivals, local cultural events, and international cooperation projects. Digital Europe represents a key tool for the modernization of municipal services through investments in cybersecurity, digital registers, artificial intelligence, and the improvement of e-government services. The Erasmus+ programme opens opportunities for schools, kindergartens, sports organizations, and municipalities themselves through knowledge exchange, professional training, and the enhancement of education and youth policies.
Municipalities also have access to specialized European instruments intended for the preparation of large-scale projects, climate and urban innovation, and the development of sustainable mobility. Among them is the WBIF – Western Balkans Investment Framework, which is crucial for financing major infrastructure projects such as water supply systems, sewage networks, energy systems, and roads. Programmes such as EUKI – the European Climate Initiative, NetZeroCities, EIT Climate-KIC, and EIT Urban Mobility encourage green innovation, climate transition, and the development of modern urban policies. The GAP Fund further facilitates the work of municipalities by financing the preparation of project and technical documentation, which is often the most expensive and complex step in launching major investment projects. Through the TAIEX instrument, municipalities gain access to expert assistance, training, and European best practices in the field of local policy management.
The wide availability of EU funds represents a historic opportunity for the modernization of local communities. European funding enables municipalities to build kindergartens, schools, sports facilities, and cultural centers, introduce smart management systems, develop green areas, improve public transport, and enhance the quality of life of citizens. For municipalities that are ready to plan, cooperate, and develop high-quality projects, EU funds are becoming the main driver of local development and a pathway toward faster integration into the European Union.
The “Municipalities for the EU” project empowers all Montenegrin municipalities to actively use EU funds and implement European standards. Through training programmes, mentoring, and the “EU and the Point” information hubs, citizens and local authorities receive knowledge, tools, and support for sustainable development and successful projects. The project is financed by the European Union, in cooperation with the Ministry of Public Administration and the Union of Municipalities of Montenegro.
