The largest amount of money comes from Serbia, Russia, and Turkey.

Foreign direct investment from January to March of this year amounted to208 million euros...which is one and a half million less compared to the same period last year. Almost...50%all foreign investment funds were directed towards real estate purchases —93.8 million eurosAccording to the data from the balance of payments with foreign countries, last year foreigners purchased real estate worth105.3 million euros...which indicates a decrease in current transactions by...11%The largest foreign investments in these three months came from Serbia —40 million euros, followed by Russia with37.8 millionand Turkey with20.6 millionThe first Western country on this list was Germany with16 million, behind it is Switzerland with13.2 millionThe United States with10.2 millionThe United Arab Emirates with8.8 millionand Bosnia and Herzegovina with7.5 millionand also the United Kingdom with5.9 million.

Among foreignreal estate buyers this quarter, the largest amount of money was spent by citizens of Serbia and Serbian companies.14.6 million eurosTurkish investors have taken the second position, having invested11.2 million eurosin Montenegrin real estate, while Russians have dropped to third place, spending8.05 million eurosInvestors from the USA have purchased real estate worth an amount close to Russian investments, which amounted to8.04 million euros...followed by German investors with...7.6 millionBosnian with7.3 millionand Swiss with3.7 millionInvestment has been made from the United Kingdom.3.6 million eurosin Montenegrin real estate.

During this trimester, foreigners invested in their companies and banks in Montenegro.36.1 million eurosthat on11 millionmore than a year ago. The volume of loans received from abroad by financial institutions in Montenegro during the same period amounted to75.3 million euros, having increased by6 millioncompared to last year. The largest investments were directed towards supporting businesses and banks —20.3 millionthen on real estate —14.6 million, and4.2 millionIt was allocated for loans to its own companies.

Russians initially made the largest investments in their companies, spending23 millionthen8 millionon real estate and6.7 millionin investments in Montenegrin companies and banks. The majority of Turkish investments are also directed towards real estate —11.2 million euroswhile funds were allocated for local companies in Montenegro8.6 millionand direct investments amounted to only842 thousand euros.

Montenegrins purchased real estate abroad during the specified period for a total amount of5.1 million eurosThis is also seen as an outflow of investments.

The largest amounts from Montenegro have been withdrawn by investors from Serbia —22.5 million eurosfrom them10.1 millionthrough capital withdrawal and9.3 million— through real estate sales. In second place for capital outflow are Austrian investors with7.8 million, followed by Hungarian s6.2 millionSlovenian with5.1 millionand Maltese with5 millionGerman investors withdrew funds amounting to4.6 millionRussians have withdrawn investments amounting to4.5 million eurosmainly through the sale of their real estate in Montenegro for the amount of2.7 millionand also through the capital withdrawal from their companies to1.7 million.

Despite the sanctions, the inflow of capital from Russia significantly exceeds the outflow.33.3 million eurosReal estate purchases by Russian investors were three times higher than the amount of their property sales, clearly demonstrating that Russian investors are not leaving the Montenegrin real estate market.

Turkish investors have withdrawn.3.4 million eurosfrom which2.7 millionI compiled the capitalization of the companies, and577 thousand— real estate sales. Over the past three years, foreigners have invested nearly in Montenegrin real estate.1.2 billion euros...with the increase in demand and prices for housing. During the COVID-19 pandemic in 2020, foreigners purchased real estate worth only...6.8 million euros...but the market noticeably recovered in 2021 with sales at278 million...and then significantly increased in 2022 to...448 millionand in 2023 until463 million.

The most active investors over the past three years have been Russians, who have spent177 million euros...followed by the Serbs with...167 million, the Germans with148 million, Turks with105 millionand the Americans with92 millionThe increase in foreign investors' investments in real estate is accompanied by a rise in prices for new housing. The average price per square meter in commercial real estate in Montenegro in 2021 was1,216 euros, grew to1,402 eurosin 2022, and in 2023 it reached1,555 eurosIn the first quarter of this year, the average price increased to1,756 eurosthat confirms the overall increase in prices for50%compared to the previous three years.