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    Home EUROPE Montenegro

    “Saved” almost 30 million: According to the final account, Bar spent 40 percent of the capital budget in 2025

    The Analyst by The Analyst
    June 20, 2026
    in Montenegro
    “Saved” almost 30 million: According to the final account, Bar spent 40 percent of the capital budget in 2025



    Marija Pešić

    19.06.2026. 6:02 p.m

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    Last year, the municipality of Bar “saved” almost 30 million euros, and almost every local body and service spent less than what was foreseen in last year’s budget, in which the capital budget of the Secretariat for Property and Investments stands out the most – slightly more than 16 million euros were spent out of the predicted over 35 million euros.

    This results from the Final Account of the Bar Municipality budget for 2025, which “Vijesti” had access to, and which will be presented to the councilors of the local assembly next week, from which it can also be seen that the local administration in some segments last year earned more than it planned.

    The local administration of Bar, which he manages Dusan Raicevic (Democratic Party of Socialists), had 63,424,000 euros in its coffers last year. Of that, 40,202,258 euros were spent, and 40,591,531 euros of income were generated, so the municipality transferred 29,669,951 euros to the current year 2026 and boasted a record budget of over 65 million euros.

    The total expenditures (costs) of the budget of the Municipality of Bar in 2025 were planned in the maximum amount of 63,424,000 euros, and were executed in the amount of 40,202,258 euros or 36.61 percent less compared to the formal plan.

    “By conducting a stable and responsible fiscal policy, the Municipality of Bar ensured the smooth operation of municipal bodies and services, regular payment of salaries to employees, as well as the settlement of all current obligations. At the same time, support to the economy and citizens continued, including subsidies to companies founded by the Municipality”, it says in the final account for the previous year.

    According to the local administration, special emphasis was placed on the development of entrepreneurship and female entrepreneurship, through the allocation of grants and other incentive measures aimed at improving agriculture and craftsmanship.

    They also say that funds are planned for the realization of capital projects and investment activities. Money from the budget was used to cover regular obligations, finance cultural, sports and social activities, as well as for the implementation of capital projects, where they were financed from realized budget revenues.

    Earnings, awards, severance pay…

    The employees’ wages were planned in the amount of 5,417,900 euros, and paid out in the amount of 4,504,333 euros or 16.86 percent less compared to the plan. Last year, net wages were paid in the amount of 3,657,061 euros, and taxes and contributions in the amount of 847,271 euros. On the last day of 2025, the number of employees was 310, and the average net salary was 992.68 euros, according to the document.

    460,700 euros were planned for other personal incomes, and 413,036 euros were paid, or 10.35 percent less than planned. 210,647 euros were spent on severance pay, 136,117 euros were paid to councilors of the local assembly, 38,515 euros were paid for transportation, 26,353 euros were paid to “other fees”, i.e. work in commissions, and 1,404 euros were paid to jubilee awards.

    Expenditures for materials were planned in the amount of 797,800 euros, and spent in the amount of 620,212 euros or 22.26 percent less than planned. Expenditures for services are planned in the amount of 1,325,600 euros, and amount to a total of 685,351 euros or 48.30 percent less.

    The costs for current maintenance are planned in the amount of 605,000 euros, and amount to 321,651 euros or 46.83 percent less. Expenses for rent were planned in the amount of 15,000 euros, and were realized in the amount of 12,115 euros, and refer to the lease of the infrastructure and the capacity of transmission and broadcast of radio broadcast signals, which is paid to the Radio-diffusion Center Podgorica, and for the needs of the Local Public Broadcaster “Radio Bar”.

    Money for subsidies for production and provision of services was planned in the amount of 730 thousand euros, and 604,618 euros or 17.18 percent less compared to the plan was spent for this purpose. Other expenditures were planned in the amount of 997,300 euros, and were realized in the amount of 735,960 euros or 26.20 percent less than planned. Those costs refer to work contracts, costs of court proceedings, fraud…

    Funds for transfers to institutions, individuals, non-governmental and public sectors were planned in the amount of 5,524,726 euros, and realized in the amount of 4,839,002 euros or 12.41 percent less.

    About five million euros went to “other transfers” for local companies.

    Capital expenditures were planned in the amount of 35,860,000 euros, and realized in the amount of 16,329,558 euros or 54.46 percent less compared to the plan.

    Debt repayment expenses were planned in the amount of 3,245,500 euros, and realized in the amount of 3,243,913 euros and refer to the repayment of the loan from “KfW Bank” in the amount of 3,158,572 euros and the repayment of the loan to the Municipal Support Fund for the pre-financing of donor projects in the amount of 85,341 euros.

    Expenditures for repayment of obligations from the previous period were planned at 2,403,974 euros, and realized in the amount of 2,197,278 euros or 8.60 percent less. The funds of the current budget reserve were planned in the amount of 350,000 euros, and realized in the amount of 328,626 euros. The permanent budget reserve of 270 thousand euros was not used.

    At least
    photo: Marija Pešić

    Utilities are the most profitable

    The total budget receipts of the Municipality of Bar for 2025 were planned in the amount of 63,424,000 euros, and were realized in the amount of 69,872,209 euros.

    Of that, own revenues (municipal taxes, fees, fees and other local revenues) made up 27,158,479 euros or 38.87 percent, ceded revenues were 7,395,409 euros or 10.58 percent, special compensation for investments amounted to 311,722 euros or 0.45 percent.

    Funds transferred from the previous year – 29,280,677 euros – made up the largest “profit” of last year’s budget or 41.91 percent. Donations in the amount of 347,579 euros or 0.50 percent, transfers of 5,186,124 euros or 7.42 percent and loans and credits in the amount of 192,216 euros or 0.27 euros.

    Income from real estate tax is planned in the amount of 9,600,000 euros, and the realized income on this basis amounts to 10,163,023 euros or about five percent more compared to the plan. Real estate sales tax was planned in the amount of 2.5 million euros, and realized in the amount of 2,948,055 euros, or about 18 percent more than planned.

    The surtax on the income tax of natural persons is foreseen in the amount of one million euros, and the revenue was about half a million euros more or 47.52 percent more compared to the planned predictions.

    Revenues based on fees in 2025 were planned in the amount of 725,000.00 euros, and were realized in the amount of 808,885 euros or 11.57 percent more compared to the plan. Revenues based on administrative fees were planned in the amount of 70,000 euros, and a little over 63,000 were realized.

    Revenues from local communal fees in 2025 were planned in the amount of 255,000 euros, and realized in the amount of 305,655 euros, or about 20 percent more than planned. The decision on the budget of the Municipality of Bar for the year 2025 planned 400,000 euros in revenue from the tourist tax, and 439,969 euros were collected.

    Last year, the project for the communal equipment of the land brought over nine million euros to the Municipality of Bar, or almost 30 percent more than the planned 7.6 million.

    Loans twice as much

    Compensation from urban rehabilitation and other sources of income in accordance with the law is capital budget income and in 2025 it was planned in the amount of 100,000, and realized in the amount of 122,080 euros or 22.08 percent more. The fee for communal equipment and lease of construction land – temporary facilities is also income of the capital budget and last year it was planned in the amount of 300 thousand euros, and over 81 thousand more than that was charged, or about 27 percent more compared to the plan.

    Other road fees are planned in the amount of 200,000 euros, and the realized income on this basis amounts to 137,674 euros or 31.16 percent less compared to the forecast. Other revenues (interest, fines…) were planned in the amount of 770 thousand euros, and were collected in the amount of 748,539 or about three percent less compared to the plan.

    Revenues from the sale of non-financial assets in 2025 were planned in the amount of one million euros, while they were realized in the amount of 1,290,412 or 29 percent more.

    Surrendered revenues are those that the municipality achieves from common taxes and fees, which are introduced by the state, and which, according to the system of automation, are directed to the municipalities through the state treasury, namely income from tax on the income of natural persons, revenues from concessions and other fees for the use of natural resources granted by the state, and the annual fee for the registration of road motor vehicles.

    The personal income tax brought almost 45 percent more to the bar coffers than the planned four million – 5,799,333 euros. Concession and other fees awarded by the state were planned for 2025 in the amount of 1,230,000 euros, and they were realized in the amount of 1,368,896 euros or about 11 percent more compared to the plan.

    The municipality of Bar did not even borrow as much as it intended – 370,000 euros, but almost twice less than that – 192,216 euros, which refers to the loan from the Municipal Support Fund for the pre-financing of donor projects for the “CITYMOVE” project and the “Building smart forest” project.

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