The Central Bank of Montenegro Council adopted a package of implementing by-laws required under amendments to the Law on Resolution of Credit Institutions, aligning the national bank resolution framework with relevant European Union regulations. It also approved a Decision establishing a National Payment Transactions Board, to be coordinated by the Central Bank of Montenegro, to help raise payment security and efficiency and support implementation of the Single Euro Payments Area (SEPA) project. The resolution by-laws are intended to provide the prerequisites for more efficient resolution procedures, improve legal certainty and reduce systemic risks. The National Payment Transactions Board is set up as an inter-institutional body to promote cooperation among payment system participants, facilitate exchange of views, harmonise activities supporting payments development within the SEPA area and propose solutions for further improvements. The Council also reviewed the Governor’s report on operations for January 2025, which described the banking sector as solvent and liquid with stable deposit growth and strong lending activity, and discussed the Q4 2024 bank lending survey, where banks reported eased credit standards and conditions for households and businesses and expected further easing in Q1 2025 due to increased competition, favourable economic conditions, lower non-payment of receivables and reduced interest margins.

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