Council of the CBCG Adopts the Financial Plan for 2026 CBCG Continues to Invest in Payment Systems Modernisation, Digitalisation and Innovation
18/12/2025
At today’s meeting, the Council of the Central Bank of Montenegro, chaired by Governor Irena Radović, adopted the Financial Plan of the CBCG for 2026, together with the Investment Plan and the Cash Flow Plan. The adoption of these documents has created the prerequisites for achieving the objectives set out in the CBCG Strategic Plan for 2025–2028.
The CBCG Financial Plan for 2026 has a pronounced developmental character and represents the basis for implementing the activities aimed at further improving operations and the long-term institution’s development. The Plan’s key focus is on the continued modernisation of the payment infrastructure, accompanied by lowering payment service fees, increased availability of financial services, and enhanced transactions security and efficiency. Despite the expected decrease in CBCG revenues resulting from the reduced payment service fees, the adopted plans envisage the continuation of significant investments, primarily in implementing the TIPS Clone project, as well as in other development priorities, including digital transformation, innovation, and the implementation of ESG standards. The Financial Plan is designed to ensure a stable financial framework for the continued CBCG’s transformation into a modern, efficient and innovative institution, as well as for the enhancement of employees’ competencies in line with European standards.
With a view to preserving the financial system’s stability, and in light of the still prevailing risks due to the cash loans growth of, the Council adopted the Decision Amending the Decision on Macroprudential Measures Related to Retail Loans Granted by Credit Institutions. This decision extends the application of measures limiting the granting of cash loans for an additional period of one year. The prescribed measures, inter alia, stipulate that credit institutions may grant retail loans with a repayment period longer than eight years only if such loans are secured by a mortgage, fiduciary transfer of ownership, a pledge over movable assets, or other appropriate collateral. These measures are applied on a preventive basis and aim to mitigate the accumulation of risks to the credit institutions’ stability arising from intensified lending and strengthen their resilience in the event of adverse macroeconomic scenarios. Under current macroeconomic conditions, these measures also contribute to reducing inflationary pressures.
The Council adopted the Analysis of the quarterly review of the countercyclical capital buffer rate’s appropriateness. Analysing the developments related to credit growth, the real estate market, banks’ operations and the broader macroeconomic environment, it assessed that the countercyclical capital buffer rate for the Q1 2026 should remain at 1%.
The Council also adopted the Decision on the procedure for assessing the adequacy of a credit institution’s internal liquidity, which is fully aligned with the European Central Bank’s guidelines. This Decision prescribes the assessment procedure, as well as the manner and deadlines for reporting to the CBCG on the credit institutions’ internal capital adequacy and internal liquidity.
At today’s meeting, the Council adopted the Decision Amending the Decision on Detailed Conditions for Providing Activities of the Payment Service Agent. This Decision aligns the registration of agents whose engagement is being expanded to include new payment services, as well as the conditions defining good reputation for their owners and members of management bodies.
According to banks’ assessments, credit standards1 for retail sector were significantly eased in Q3 2025, particularly in the segment of consumer loans, while credit standards for the corporate sector were slightly tightened, following a four-quarter trend of easing. This is shown by data from the Report on Bank Lending Survey Results for Q3 2025, which the Council discussed today. Banks expect that the easing of credit standards for households will continue in the next quarter, albeit at a lower intensity, while the tightening of credit standards for the corporate sector will persist due to higher funding costs, stricter collateral requirements and a reduced willingness of banks to take on risk.
In the third quarter of this year, credit conditions2 for households and the corporate sector were more favourable compared to the previous quarter, as a result of lower interest rate margins, fees and charges and higher maximum loan amounts. In Q4 2025, banks expect a further easing of credit conditions for both households and the corporate sector.
At today’s meeting, the Council also considered and adopted other materials within the scope of its competence.
1 Lending standards include criteria for the approval of loans which define: type of loan, recognised sectoral or geographic priorities, acceptability of collateral, creditworthiness of the debtor, and the like.
2 Credit conditions include mandatory elements from the loan agreement such as loan amount, interest rate, commission and fee costs, required collateral, maturity, and the like).