Montenegro’s economy posts strong 25.8% y/y growth in 3Q21

Montenegro’s economy posts strong 25.8% y/y growth in 3Q21
By bne IntelliNews December 15, 2021

Montenegro’s GDP jumped by a real 25.8% y/y in the third quarter of 2021, after expanding by 19% y/y in the previous quarter, according to preliminary data from the statistics office released on December 15.

Montenegro’s GDP growth was much higher than the EU average of 4.1%, according to statistics office data. It is recovering after in 2020 it was the worst affected in Southeast Europe and across the emerging Europe region by the coronavirus (COVID-19) pandemic due to the collapse of its tourism sector, which typically contributes 25% of GDP.

The nominal GDP growth was 30.7% y/y in the third quarter, versus the 25.3% y/y hike in Q2.

Measured at current prices, Montenegro's total economic output stood at €1.52bn, higher than the €1.13bn reading in Q2. The statistics office did not provide a sector breakdown.

At current prices, household consumption stood at €1.58mn. The gross fixed capital formation totalled €292.1mn in the third quarter, while the net export/import was negative €25.2mn.

The statistics office said earlier that the Montenegro’s economy contracted by a revised 15.3% in 2020.