Montenegro raises financial conglomerate threshold to 6 billion euros

The Montenegrin government has approved a proposal to amend the Law on Financial Conglomerates, significantly raising the thresholds for defining large business groups. The amendment increases the total asset threshold for a group to be classified as a financial conglomerate from 100 million euros to 6 billion euros. Additionally, the threshold for the smallest financial sector within a group rises from 80 million euros to 5 billion euros.

These changes aim to align national legislation with European Union directives, specifically contributing to the closing of negotiation chapter 9. The new regulations refine the structure and operation of large business groups that include various financial institutions, such as banking and insurance sectors. The law also allows voluntary pension fund management companies to be included within their respective financial sectors in a conglomerate structure, ensuring more efficient and proportional regulatory oversight.