---

29/09/2017

The Governor of the Central Bank of Montenegro, Mr Radoje Žugić, PhD, is taking part at the meeting of the Governors` Club of the Central Asia, Black Sea Region and Balkan Countries, which is organized by the Bank of Russia in Moscow from 28 September to 1 October.

Issues of general interest for regional and global economic and financial development, as well as the activities of central banks and the current economic situation in the Club member countries were discussed at the meeting today. The governors also discussed the development and importance of the latest technologies in the financial market, as well as the monetary policy of the European Central Bank and its impact on the economies of the member countries of the Club.

In his presentation, Governor Žugić addressed the measures of the so-called the quantitative easing introduced by the European Central Bank (ECB) in 2015 with the aim of preventing deflationary tendencies and reviving economic activity in the euro area. The increased liquidity and the fall in interest rates on the European market affected the profitability of the banking sector in Montenegro and the costs of borrowing from the State. On the other hand, these measures of the ECB indirectly influenced the intensifying of growth in Montenegro. "Higher growth rates in European countries have resulted in increased demand, especially in the sectors of tourism and transport, where Montenegro has recorded significant growth," said Governor Žugić.

The Central Bank of Montenegro is a member of the Governors’ Club of the Central Asia, Black Sea Region and Balkan Countries since 2005. Membership in this prestigious organization enables the Bank to further strengthen regional cooperation in the monetary, financial and banking sectors and establish closer relations with central banks from the region.