Governor Žugić attends conference in Dubrovnik


The Governor of the Central Bank of Montenegro, Mr Radoje Žugić, attended the international conference titled “Demographics, Jobs and Growth: Navigating the Future in Central, Eastern and Southeastern Europe”, organised by the Croatian National Bank (CNB) and the International Monetary Fund (IMF) in Dubrovnik on 14 and 15 July.

The Conference was opened by the Governor of the CNB, Mr. Boris Vujčić, and the Deputy Managing Director of the IMF, Mr. Tao Zhang, with welcome speech of the Croatia’s Prime Minister, Mr. Andrej Plenković.

The main topic of the Conference was economic growth restrictions in the countries of Central, Eastern and South-Eastern Europe (CESEE) resulting from demographic changes, especially at the labour market. The Conference participants agreed that the lack of skills, supply-demand mismatch, aging, and migration trends are challenges to the acceleration of long-term growth, fiscal sustainability and the living standards of these countries.

“Despite a growing trend in the number of employees, and lower unemployment rate, that confirm an accelerated economic development, similar to other countries in the region, Montenegro has been facing the challenges related to the labour market,” said Governor Žugić. In his opinion, the crucial problem of the Montenegrin labour market is structural unemployment induced by the supply-demand mismatch, on one hand, and the mismatch of educational profiles provided by the formal education system, on the other hand. Moreover, there are problems related to non-observed economy and negative demographic trends, as well as the brain drain.

As the discussion continued, the topics covered the possible ways of overcoming the identified problems through defining adequate policies that would ensure the improvement of the labour market situation, which would create the conditions that human capital and knowledge become main development factors and drivers of the economy’s development.

The Conference in Dubrovnik gathered the highest officials of central banks and ministries of finance and labour of the CESEE countries, the representatives of the IMF, the World Bank, the European Commission and numerous experts in the field of human resources.