The telecom industry in Montenegro was quickly liberalised after independence. The newly introduced legislation adopted many of the regulations that the European Union is promoting for communications, and that which promotes competition as the most efficient way to offer communications products and services while ensuring universal access. Despite liberalisation the incumbent Crnogorski Telekom continues to dominate the fixed-line market although the situation is likely to change due to introduction of new legislation giving stronger powers to the regulator to improve competition. The Agency for Electronic Communications and Postal Services (EKIP) is the institutional watchdog for fair competition in electronic communications in Montenegro.
Montenegro’s economy is transitioning to a market system. From the beginning of the privatization process in 1999 through to 2015, around 85% of Montenegrin state-owned companies have been privatized, including 100% of banking, telecommunications, and oil distribution. The government recognizes the need to remove impediments in order to remain competitive and open the economy to foreign investors. Montenegro uses the Euro as its domestic currency, though it is not an official member of the Euro-zone. In January 2007, Montenegro joined the World Bank and IMF, and in December 2011, the World Trade Organization. Montenegro began negotiations to join the EC in June, 2012, having met the conditions set down by the European Council, which called on Montenegro to take steps to fight corruption and organized crime. Tourism brings in twice as many visitors as Montenegro’s total population every year. The country is therefore planning major overhauls of its road, rail networks, and possible expansions of its air transportation system.