Montenegro Withdraws Controversial Amendments to the 2025 Foreigners Law
The Government of Montenegro has withdrawn amendments to the Law on Foreigners that sparked a strong reaction from foreign investors and the business community. In particular, they concerned the introduction of a minimum property value of €200,000...
The Government of Montenegro has withdrawn the amendments to the Law on Foreigners that sparked a strong reaction from foreign investors and the business community. In particular, they concerned the introduction of a minimum property value of 200,000 euros and the obligation to employ Montenegrin citizens. Interviewees warn that some investors have already abandoned planned investments, and stress the need for an urgent compromise solution that will not undermine the investment climate ahead of the country’s accession to the EU.
Autumn amendments to the Law on Foreigners withdrawn
The Government of Montenegro has repealed the amendments and additions to the Law on Foreigners, which in recent weeks caused serious concern among foreign citizens living, working, and investing in the country. The withdrawn amendments had provided for a minimum property value of 200,000 euros for obtaining temporary residence, as well as a requirement for foreign company owners to hire at least two Montenegrin citizens.
Brief overview of the changes to the Law on Foreigners
Real estate: New residence permits are issued only when buying housing worth from 200,000 euros.
Protection of current owners: If you already have a residence permit based on property ownership, the new price rule does not apply to you.
Business: Company directors do not have to hire Montenegrins. Instead, the company must pay taxes — at least 5,000 euros per year.
IT and Medicine: The requirement for triple the average salary has been abolished. The conditions have become more lenient.
These requirements do not apply to citizens of the EU, Norway, Switzerland, Iceland, and Liechtenstein — for them there are no price thresholds or such financial conditions.
German investors concerned about the previous version of the law
The chairman of the tourism committee of the German-Montenegrin Business Club, Mihail Bader, said in a comment for RTCG that the previously announced changes alarmed tens of thousands of foreigners who have been doing business in the country for years.
“There are provisions there that are really problematic and strongly affect foreigners who have long lived in Montenegro and do business here. People tell me: if it is all like this, if I am obliged to hire three people, two of them Montenegrins, and I have a small business and no means for that, I will have to close the company and leave Montenegro,” Bader said, according to the RTCG portal.
According to him, the negative consequences are already being felt, as some potential investors have abandoned planned investments.
“New investors have canceled their plans for now. The people I am in contact with said that they will not invest in Montenegro at this time,” Bader noted.
Migration policy expert Bojan Bugarin believes that the proposed measures would be difficult to implement in practice and that Montenegro should focus on the real economic activity of companies with foreign capital.
“Abuses certainly need to be controlled, but on the basis of tax reports, balance sheets, and the actual activity of companies. Their impact on the labor market and tax revenues needs to be monitored and assessed regularly,” Bugarin said, adding that such an approach would ensure effective control without creating unnecessary barriers.
As an example of good practice, Bader cites Albania, where the criteria are simple and clear.
“There, 20 square meters per person are required, which is quite acceptable. If a family consists of four people, the house must have 80 square meters for all family members to receive residence permits,” he explained.
The interviewees for Radio Montenegro agree that the optimal model for Montenegro would be a system combining effective business oversight with a non-restrictive approach to foreigners, especially in the context of the country’s expected accession to the European Union.
When will the new amendments to the law enter into force?
At present, this is not about the current law, but about a package of amendments proposed by the Government to the draft law. For them to enter into force, the document must be approved by a majority vote in the Assembly (Parliament) and then officially published in the Official Gazette of Montenegro (Službeni list).
Expert recommendation: if you were considering buying affordable property in order to obtain a residence permit, it makes sense to speed up the transaction and submit the documents. All applications submitted before the amendments enter into legal force will be considered under the currently applicable, more lenient rules.
Follow the updates. We will publish the final text of the law as soon as it is signed.
