Financial Crime World

Montenegro: A Captured State or Just Corrupt?

Belgrade - Serbia’s reputation as a “captured state” by organized crime has drawn attention to another former Yugoslav republic, Montenegro, which also has a questionable relationship between government and criminal groups.

The Perception of Corruption

While Serbia was seen as being controlled by nationalist groups with ties to criminal activity, Montenegro is perceived as being run by smugglers and criminals of all types. Prime Minister Milo Djukanovic has been implicated in widespread cigarette smuggling, and a recent scandal involving prostitution and human trafficking has made headlines internationally.

Vulnerability to Organized Crime

Montenegro’s smaller size and proximity to Italy and other European countries make it more vulnerable to organized crime, experts say. However, the extent of criminal involvement in the government and administration is difficult to assess due to limited data and corruption.

  • “It’s hard to determine how organized crime operates in Montenegro,” said a political analyst. “But it’s clear that the informal economy plays a significant role, and it’s likely that there are close ties between government officials and criminal groups.”

Corruption vs. Captured State

Unlike Serbia, where organized crime was seen as seeking to take over the government, Montenegro’s corruption appears more straightforward, with bribery and embezzlement rather than criminal activity driving government decisions.

  • “The non-existence of the rule of law is a major obstacle for Montenegro,” said another analyst. “It will be difficult for the country to make progress on its independence from Serbia and to reform its public sector without addressing this issue.”

The Belgrade Agreement

The Belgrade Agreement, forged by the European Union in 2002, aims to create a loose union between Serbia and Montenegro. However, the agreement has been slow to implement, and Montenegro’s independence remains a topic of debate.

Conclusion

In the meantime, Montenegrins are left to wonder whether their country is truly a captured state or just corrupt. As the country struggles to establish its own identity and institutions, the answer may only become clear with time.