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News / Results of the study for improvement of digital infrastructure in Montenegro

28/01/2022

Results of the study for improvement of digital infrastructure in Montenegro

The development of digital infrastructure in Western Balkan beneficiaries is a flagship for the European Union’s Economic and Investment Plan for the Western Balkans. Through the Western Balkans Investment Framework (WBIF) in cooperation with the European Investment Bank, the European Union is funding a project with €550,000 to investigate the feasibility of improving and expanding broadband infrastructure in Montenegro. The results of the study for the effective deployment of Next Generation Networks in Montenegro were presented during a remote meeting on 19 January.

The project began in July 2020 and includes an assessment of the existing situation in Montenegro and the plans of telecom operators to deploy infrastructure in the next three years.

The planned investment value is estimated to be €56 million with operating expenses of an estimated €44.5 million during 20 years of operation. While the financial internal rate of return is negative, the economic internal rate of return is estimated to be almost 7%, rendering the investment socio-economically feasible. This will enable the mobilisation of grants provided by the European Union for up to 30% of the investment budget as foreseen in the Economic and Investment Plan for the Western Balkans. In February, the government of Montenegro will apply to WBIF for further grants for the preparation of the next stages of the project including the necessary tender documents for works and supervision of works.

implementing partner financing

Source: WBIF

Photo credits: WBIF

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