The Central Bank of Montenegro published a statement on the enforced collection procedure involving the Municipality of Budva's accounts, saying the freeze was carried out under a decision issued by a competent public bailiff and rejecting claims that it acted without prior notice or under political influence. The bank said that, under the law governing enforcement and security of claims, it carries out enforced collection from accounts of legal entities and entrepreneurs only on the basis of enforcement decisions issued by competent authorities. It does not initiate proceedings, determine whether a debt exists, or decide the rights and obligations of the parties, and its review is limited to checking the formal validity of the enforcement order. Once such an order is received, it must execute collection without delay in line with the instruction and its time of receipt. In the Budva case, the order was received on 29 April. The bank added that it is not authorised to notify the debtor in advance, because the law bars use of the funds from the moment a freeze order is received and throughout the freeze, while responsibility for the legality and content of the underlying enforcement act rests with the issuing public bailiff.
Central Bank of Montenegro 2026-05-06
Central Bank of Montenegro clarifies Municipality of Budva account freeze followed public bailiff order and denies political influence
The Central Bank of Montenegro clarified its role in the enforced collection procedure involving the Municipality of Budva, stating the account freeze on 29 April was based solely on an enforcement decision issued by a competent public bailiff. It rejected allegations of acting without prior notice or political influence, emphasising that it does not initiate proceedings, assess debts, or notify debtors, and that its review is limited to the formal validity of enforcement orders, with legal responsibility resting with the issuing bailiff.