Our second update on the implementation of Reform Agenda is completed and the results show continued issues in achieving the schedule of reform steps. Montenegro is formally compliant with the Reform and Growth Facility governance framework and has fulfilled the main legal and administrative preconditions for participation, including adoption of the Reform Agenda, ratification of agreements, appointment of the National Coordinator, establishment of the Monitoring Committee, and inclusion of civil society representatives.
However, implementation remains uneven. The Monitoring Committee is still largely procedural, with weak evidence of structured preparation, documented follow-up, and analytical discussion. Coordination exists, but monitoring would benefit from clearer evidence flows and more transparent documentation.
Montenegro has maintained eligibility for RGF funding, and the first two tranches have been released. The third semi-annual report was submitted in January 2026 and is still under European Commission assessment. Disbursements remain below total allocations, reflecting the phased and performance-based nature of the Facility. Limited public information on payment requests and verification reduces transparency.
Across policy areas, progress is mixed. Rule of law reforms show some institutional advances, such as the appointment of the Supreme Court President, but key judicial governance reforms are delayed. SOE governance, public procurement, state aid and competition reforms have advanced partly, but several important laws and operational mechanisms are still pending. In education and labour market reforms, some strategies have been adopted, but institutions and verification mechanisms are not yet fully functional.
The main cross-cutting challenges are weak transparency of monitoring evidence, reforms stuck between drafting and adoption, and institutions that exist formally but are not yet fully operational.
The key priorities are to make the Monitoring Committee more substantive, standardise reporting and evidence protocols, complete delayed reforms linked to payment requests, improve transparency around funding and assessments, and focus the next cycle on reforms that have been adopted on paper but not yet delivered in practice.