According to the Serbian business media outlet Parametar, Croatia is claiming property worth over $2.7 billion located in Montenegro that remained there following the breakup of Yugoslavia. And this is by no means limited to the well-known training sailing ship “Jadran.”
This was stated by Croatian Minister of Foreign and European Affairs Gordan Grlić Radman during a visit to Montenegro. Zagreb has documentation regarding property that ended up on Montenegrin territory and was sold or transferred to other owners after the breakup of Yugoslavia.
Among these, the minister specifically mentioned military ships, submarines, and a military hospital.
The “Jadran” has become the most well-known part of the dispute. The training sailing ship was built in the 1930s and was used by the Yugoslav Navy. The vessel is currently in Montenegro, while Croatia insists on its return.
But the property dispute is only part of a much broader list of Zagreb’s demands on Podgorica.
The Croatian Ministry of Foreign Affairs lists the following among the unresolved issues:
– the return of the “Jadran” and the settlement of other property claims;
– compensation for former Croatian prisoners of the Morin camp;
– the search for 14 people who are still considered missing in action following the war of the 1990s;
– the investigation and prosecution of war crimes;
– the return of property belonging to Croatian families in Montenegro and the conclusion of protracted court proceedings;
– the preservation of a memorial plaque at the site of the former Morin camp;
– renaming the swimming pool in Kotor named after Zoran Hopčević;
– resolving the maritime border between the two countries.
These issues take on particular significance in light of Montenegro’s EU accession negotiations.
Croatia is already using its status as an EU member state to block the closure of certain negotiation chapters. In September, a planned intergovernmental conference had to be postponed after Zagreb refused to agree to the closure of several chapters.
Currently, Croatia is blocking the closure of chapters related to transport policy, foreign policy and security, the judicial system and fundamental rights, as well as justice, freedom, and security.
Podgorica hopes to conclude negotiations and become the 28th member of the European Union in 2028. However, this date is not guaranteed: the consent of EU member states is required for progress and final accession.
At the same time, Croatia is currently the main source of bilateral demands on Montenegro, which directly affect the negotiation process. There is currently no comparable official set of claims from other EU member states.
This creates a rather interesting situation: the closer Montenegro gets to the EU, the greater the significance of long-standing disputes dating back to the breakup of Yugoslavia.
And Croatia’s property claims, totaling more than $2.7 billion, are now becoming not only a matter of relations between Zagreb and Podgorica but also a potential factor capable of influencing the timing of Montenegro’s accession to the European Union.
According to an analysis by the Serbian business portal Parametar, starting November 1, 2026, Montenegro will introduce a visa requirement for citizens of Russia, Belarus, and Turkey, which could significantly impact the country’s tourism, labor market, rental sector, and real estate market.
On September 24, the Montenegrin government confirmed the initiation of the procedure to terminate the existing visa-free travel agreements with these three countries. The decision was made as part of efforts to bring the country’s visa policy into line with European Union regulations. As early as July 23, the government approved changes to the visa regime, which are set to take effect on November 1.
Until October 31, citizens of Russia and Belarus may enter Montenegro without a visa and stay there for up to 30 days. A similar visa-free regime applies to Turkish citizens. Once the new rules take effect, holders of ordinary passports will need a Montenegrin visa. Regarding Turkey, Podgorica plans to conclude a separate agreement, maintaining visa-free entry for holders of diplomatic, service, and special passports.
However, there are significant exceptions. Citizens of these countries who hold a valid Schengen, U.S., British, or Irish visa or a corresponding residence permit will, as before, be able to enter Montenegro without a separate Montenegrin visa for up to 30 days.
The new regime also does not require a tourist visa for foreigners who already hold a valid temporary or permanent residence permit in Montenegro or a permit for temporary residence and work.
According to data from the Montenegrin Ministry of the Interior cited by Parametar, as of the end of 2025, 20,793 Russian citizens and 13,506 Turkish citizens held temporary or permanent residence permits. Together, these two communities account for approximately 5.5% of the country’s population, which totals about 624,000 people.
The Belarusian community is significantly smaller. According to the latest census, as of late October 2023, 738 Belarusian citizens had permanent residence in Montenegro; more recent data on Belarusians is not currently available.
Tourism could become one of the most vulnerable sectors. In 2025, Russian tourists accounted for 16.4% of all overnight stays by foreign visitors in Montenegro, while tourists from Turkey accounted for another 4.3%. In the private accommodation segment, the Russian market’s share reached 22.1%, while the Turkish market’s share was 4.9%. Thus, these two countries accounted for more than a quarter of all foreign overnight stays in apartments, villas, and other private accommodations.
According to Parametar’s assessment, the most noticeable impact may not be among Russians and Turks who already legally reside in Montenegro, but rather among new tourists, real estate buyers, renters, and those considering the country as a place to relocate. This is particularly important for Budva, Bar, Tivat, Kotor, and Herceg Novi, where foreign demand plays a significant role in the rental, real estate, hospitality, and service markets.
The changes may also affect the labor market. In 2025, 10,346 temporary residence and work permits were issued to Turkish citizens, and 7,429 to Russian citizens. Turkey has become the largest source of foreign labor in Montenegro. The introduction of an additional visa procedure for new workers could potentially delay their recruitment in the construction, hospitality, and other sectors.
The visa reform is linked to Montenegro’s EU accession process. The country’s government notes that full alignment of visa policy is one of the conditions for closing Negotiation Chapter 24, “Justice, Freedom, and Security.” Fulfilling this condition also paved the way for receiving approximately 4 million euros under the EU Growth Plan for the Western Balkans.
As part of a broader reform of Montenegro’s visa regime, visa requirements will also apply to citizens of China and Saudi Arabia starting November 1, since Podgorica’s previous policy toward these countries was also not in line with EU regulations. However, the government’s September 24 decision to suspend international agreements directly concerns Russia, Belarus, and Turkey.
According to Parametar, Montenegro will host the Berlin Process Leaders’ Summit on October 21–22. The meeting will take place at the Sveti Stefan resort and will be the main event of Montenegro’s presidency of this regional forum in 2026, the country’s government announced.
Montenegrin Prime Minister Milojko Spajić and German Chancellor Friedrich Merz are scheduled to open the summit.
Leaders of six Western Balkan countries—Serbia, Montenegro, Albania, Bosnia and Herzegovina, North Macedonia, and Kosovo—have been invited to Sveti Stefan, along with representatives of Berlin Process member states, EU leadership, international financial institutions, and regional organizations.
For Serbia, this meeting will be important primarily in terms of regional trade, transport and energy links with the EU, a common regional market, and the further economic integration of the Western Balkans.
Montenegro will hold a series of sector-specific meetings leading up to the October summit. Economy ministers will meet on September 30 in Cetinje, foreign ministers on October 1 in Budva, and events dedicated to the digital agenda, Roma community issues, and science and research will also take place in October.
What is the Berlin Process?
The Berlin Process was launched by Germany in 2014 as a framework for EU cooperation with the six countries of the Western Balkans. Its goal is to accelerate regional economic integration, the development of transportation and energy infrastructure, and the free movement of people and businesses, as well as to help countries in the region align with EU standards. However, the Berlin Process does not replace official EU accession negotiations; rather, it complements them with specific regional initiatives and projects.
In addition to the countries of the Western Balkans, Germany, Austria, France, Italy, the United Kingdom, Poland, Greece, Croatia, Slovenia, and Bulgaria are participating in the process, as well as EU institutions and international organizations.
According to Serbian Economist, 815,916 tourists visited the Budva Riviera in Montenegro from January through August 2026, a 17% increase compared to the same period last year, with Ukrainians remaining one of the most prominent groups of foreign visitors to the resort.
This was reported by Milan Tičić, director of the Budva Tourism Organization, in an interview with the Montenegrin publication Vijesti, published on September 18. According to him, tourists from 205 countries visited Budva over the course of eight months.
Serbia and Russia remain the resort’s largest traditional markets. The number of tourists from Serbia has increased by approximately 19% since the beginning of the year, while the flow of Russian tourists has grown by as much as 34%.
Some Western European markets are growing even faster in 2026. The number of visitors from Poland increased by 83%, from Italy by 59%, from the Netherlands by 51%, from Spain by 46%, from the United Kingdom by 25%, and from Germany and France by approximately 15%. Thus, the geography of foreign tourism in Budva is gradually diversifying, although Serbian and Russian tourists still hold the leading positions.
Ukrainians are also among the key tourist groups. According to data from the Budva Tourism Organization, during the peak season on August 7, 2026, Ukrainian citizens were among the top ten largest groups of guests in group accommodations, alongside tourists from Serbia, Russia, Israel, the United Kingdom, Germany, Bosnia and Herzegovina, and Poland.
In the private sector, Ukrainians’ presence is even stronger. In early August, they were the fourth-largest group after tourists from Serbia, Russia, and Bosnia and Herzegovina. In hotels and group accommodations, Ukrainians also consistently ranked among Budva’s top ten source markets.
By the end of August, the pattern remained similar. Among the most numerous guests at hotels and other collective accommodations, the Tourism Organization listed tourists from Serbia, Russia, Israel, the United Kingdom, Bosnia and Herzegovina, Ukraine, Germany, Poland, Turkey, and China.
The importance of the Ukrainian market is also confirmed by Montenegro’s national statistics. According to MONSTAT, in 2025, Ukrainians accounted for 4.3% of all overnight stays by foreign tourists in the country, tying with tourists from Turkey in this regard. The largest shares of overnight stays were accounted for by visitors from Serbia (23.4%), Russia (16.4%), Bosnia and Herzegovina (8.1%), and Germany (4.6%).
In the segment of private apartments and other private accommodations, the share of Ukrainians was even higher—4.7% of all overnight stays by foreign visitors. Serbian tourists accounted for 25.6%, Russian tourists—22.1%, citizens of Bosnia and Herzegovina—9.4%, and Turkish tourists—4.9%. At the same time, 94.8% of all overnight stays in Montenegro’s private sector occurred specifically at seaside resorts.
In 2025, a total of 2.729 million tourists visited Montenegro, accounting for 15.367 million overnight stays. Foreign visitors accounted for 95.8% of all overnight stays, and coastal resorts accounted for 92.6%, underscoring the critical importance of Budva and other coastal cities to the country’s tourism economy.
The growth in tourist traffic is already having an impact on Budva’s revenues. From January through August 2026, revenue from the tourist tax collected by the city’s tourism organization reached a record 2.477 million euros, which is 6% more than the previous year. In July, revenue increased by 16%, and in August, by 13%.
Budva remains one of Montenegro’s main tourist centers and is particularly popular among citizens of Serbia, Russia, Ukraine, and countries in Central and Western Europe. At the same time, the rapid growth in tourist arrivals from Poland, Italy, the Netherlands, and the United Kingdom indicates a gradual reduction in the resort’s dependence on a few traditional markets.
According to the “Serbian Economist,” five EU countries—the Netherlands, Croatia, Estonia, Lithuania, and Latvia—have called for a pause before closing the remaining negotiation chapters with Montenegro, reports the Podgorica-based newspaper Dan, citing diplomatic sources in Brussels.
The Netherlands initiated the move, demanding further analysis of Montenegro’s compliance with European criteria and a more consistent application of established standards. Croatia and the three Baltic countries subsequently joined this position.
This has already affected the negotiation schedule. The EU–Montenegro intergovernmental conference scheduled for September—at which Podgorica had hoped to close new chapters—will not take place.
However, Brussels’ official line is more conciliatory. An EU representative stated that several countries have not yet completed their internal approval procedures, as many negotiation chapters are technically complex.
“The desire to make progress is there. The work is practically complete. It’s more a matter of timing than anything else,” the EU representative said.
The most optimistic scenario at the moment is that the next intergovernmental conference will be held in mid-October in Luxembourg.
Montenegro remains the candidate that has made the most progress in the EU accession process. The country has opened all 33 negotiation chapters, 18 of which have already been provisionally closed. The last conference took place on July 14, when Chapters 8 (“Competition Policy”) and 29 (“Customs Union”) were closed.
Croatia’s position remains a separate issue. In July, Zagreb refused to agree to the closure of Chapter 14, “Transport Policy,” primarily due to issues regarding cabotage and aviation permits. Croatia also continues to block Chapter 31, “Foreign Policy, Security, and Defense,” due to unresolved bilateral issues with Montenegro.
The Council of the EU officially confirms that Montenegro’s progress continues and that work on new negotiating positions is ongoing.
One of the well-known hotels on the Montenegrin coast — Plaza in Herceg Novi — will be put up for public auction on September 14. The property together with the land plot has been valued at €30.742 million, the Serbian business portal Parametar.rs reports.
At the first auction, the hotel cannot be sold for less than 80% of its appraised value, so the minimum price will amount to about €24.6 million. To participate, potential buyers were required to pay a deposit of €3.074 million.
The sale is connected with a years-long dispute surrounding the company Vektra Boka, which managed the property. The proceeds from the sale of the assets are to be used to settle the claims of former employees and other creditors. Among them are the municipality of Herceg Novi and the local Water Supply and Sewerage company. CKB banka also has separate claims against Vektra Boka.
If no buyer is found at the first auction, at the second one the minimum price may fall to 50% of the valuation — approximately €15.37 million.
The package being sold includes land worth €7.01 million and buildings worth €23.73 million. The area of the main hotel property is about 5.44 thousand sq. m.
Source — Parametar.rs
