MF: State revenue in 2024 amounted to 2.75 billion euros, public debt amounted to 61.32% of GDP

AUTHOR:M.J. GDNUS

The state budget of Montenegro in 2024 generated revenue of 2.755 billion euros, which represents an increase of 7.3% compared to the previous year, the Ministry of Finance announced.

The largest growth was recorded in corporate income tax, personal income tax, VAT and excise duties, which is attributed to the strengthening of economic activity and the suppression of the shadow economy. Total budget expenditures amounted to 2.986 billion euros, with the deficit reduced compared to the planned level. Public debt at the end of 2024 amounted to 61.32% of GDP, while net debt, taking into account state deposits, was 56.15% of GDP.

"The capital budget was implemented in the amount of 251.17 million euros, which represents 106% of the plan, and contributions were realized in the amount of 584.7 million euros, with an increase compared to the previous year. Value added tax reached 1.222 billion euros, while excise revenues increased to 368.6 million euros, with the largest contribution coming from excise taxes on mineral oils and tobacco products. Increased turnover of cigarettes and smokeless tobacco products indicates the suppression of irregularities and the shadow economy," the statement said.

Budget expenditures, it added, increased by 16.8% compared to 2023, and the largest increase was recorded in payments from pension and disability insurance, transfers to institutions, as well as gross salaries in the public sector. However, total expenditures are 0.7% lower than planned, which is the result of the dynamics of incoming liabilities.

The Ministry of Finance emphasizes that a current expenditure surplus of 49.9 million euros was achieved, which confirms fiscal responsibility and compliance with the so-called golden fiscal rule. Accordingly, the state borrowed exclusively for capital projects and debt repayment. The Ministry emphasizes that it remains committed to transparent and responsible management of public finances, with positive trends that continued in early 2025.