Since 2025 the Investment and Development Fund (IRF) has operated as the Development Bank of Montenegro (RBCG), which lends directly to entrepreneurs and companies. For 2026 the bank offers dedicated credit lines for business start-ups, women's entrepreneurship, micro, small and medium-sized enterprises, tourism and agriculture and food production. Interest ranges from 4.00 to 5.40% a year, repayment runs up to 12 years, with a grace period of up to four years, and businesses in northern municipalities and less developed municipalities get lower interest. The bank finances at most 50 to 75% of the investment, depending on the programme, for a fee of 0.20 to 0.30% of the approved amount. There is no automatic right to a loan: the bank decides on each application separately.
This guide explains what the Development Bank is, which credit lines it offers in 2026, who can apply, what a loan costs, what collateral the bank asks for and which documents you prepare.
What is the Development Bank of Montenegro?
- The Development Bank of Montenegro was set up to support the development of the Montenegrin economy, and until 2025 the same institution worked under the name IRF.
- Since the start of 2025 the bank has worked without interruption, continuing as the Development Bank the business started at the IRF.
- It lends directly to borrowers, under programmes with a fixed interest rate, longer repayment terms and a grace period.
- You can get information on the free phone line 080 012 012 and on the bank's website, which has a full programme for each credit line.
Which credit lines are offered in 2026?
| Programme | Amount | Interest | Repayment and grace |
| business start-ups | up to 50,000 euros, sole traders up to 30,000 euros | 4.90% | up to 12 years, grace up to 4 years |
| women's entrepreneurship | 10,000 to 300,000 euros, women sole traders up to 50,000 euros | 4.50%, in the north and less developed municipalities 4.00% | up to 12 years, grace up to 4 years |
| micro, small and medium-sized businesses | up to 150,000 euros, sole traders up to 30,000 euros | 4.90%, in the north and less developed municipalities 4.40% | up to 8 years, grace up to 1 year |
| tourism, hotels and hospitality | 10,000 euros to 16 million euros, sole traders up to 50,000 euros | 5.40% | up to 12 years, grace up to 4 years |
| agriculture and food production | 1,000 euros to 7 million euros, sole traders and farmers up to 50,000 euros | 5.40% | up to 12 years, grace up to 4 years |
- For start-ups, tourism and agriculture the interest rate is 0.5 percentage points lower for projects in northern municipalities and municipalities below average development.
- For start-up loans funded by the European Investment Bank the interest rate is 0.5 to 0.7 percentage points lower, but those funds do not cover VAT.
- A start-up can get more than 50,000 euros, up to 10 million euros, if it provides a commercial bank guarantee, a 100% cash deposit or a surety from a creditworthy company.
- The start-up credit line runs until 31 December 2026 or until it is changed.
Who can apply?
- For a start-up loan, a company or sole trader that has operated for less than 12 months applies, and the company and its founders may not hold more than 20% of another business.
- For a women's entrepreneurship loan, a woman must lead the business, meaning she is the majority owner and executive director, and the business must have operated for more than 12 months.
- For a development loan for micro, small and medium-sized businesses the business must have operated for more than 12 months.
- Every borrower needs a certificate from the tax authority that it pays its taxes regularly.
- The start-up programme does not finance building flats and business premises for sale, petrol stations, banking, insurance, buying stakes and shares, media or currency trading.
What does a loan cost and what does it finance?
- The bank finances up to 75% of the investment for start-ups and women entrepreneurs, up to 70% for development loans and tourism and up to 50% for agriculture, and you invest the rest yourself.
- The loan covers equipment, buildings, breeding stock and plantations, intangible assets and working capital, which as a rule makes up to 30% of the loan, and up to 50% for start-ups in trade.
- The fee is 0.30% of the approved amount for start-up, women's and development loans, and 0.20% for tourism and agriculture.
- As a rule the bank pays the money to the supplier or contractor, or to you in tranches, once you prove you spent the previous tranche for its purpose.
- Interest can also be higher, depending on the cost of funding, and the bank informs you of that.
What collateral and documents do you prepare?
- The bank accepts promissory notes, mortgages, bank guarantees, municipal or state guarantees, sureties, pledges of receivables and wage assignments from guarantors.
- For start-up loans up to 50,000 euros the appraised value of the mortgaged property must be at least equal to the loan amount.
- With the application you submit an investment programme, an extract from the Central Register of Business Entities no older than 30 days, the articles of association, the VAT registration decision if you are registered and a tax and contributions certificate no older than 30 days.
- You also consent to access to the Central Bank's Credit Registry for yourself, the founders and related persons.
- For construction you attach the property title sheet and the building permit, and for buying business premises the title sheet and a notarised preliminary contract.
- The borrower bears the costs of collateral, insurance and removing the mortgage.
How to register and pay tax as a sole trader is covered in our guide to becoming a sole trader, and non-repayable support for farmers in our guide to the agricultural budget. What a bank sees about your debts is explained in our guide to the credit registry, and a business register extract in our guide to checking a company.
Frequently asked questions
Does the IRF still exist? Since 2025 the IRF has operated as the Development Bank of Montenegro, which continues its business and credit programmes.
How much can a business start-up borrow? Up to 50,000 euros, and a sole trader up to 30,000 euros, at 4.90% interest, with repayment over up to 12 years and up to four years' grace.
What is the interest rate for women entrepreneurs? The interest rate is 4.50%, and 4.00% for projects in the north and in municipalities below average development.
What share of the investment does the bank finance? Depending on the programme, from 50% for agriculture to 75% for start-ups and women entrepreneurs.
Is a Development Bank loan guaranteed? No, there is no right to a loan, and the bank makes a separate decision on each application.
What benefits do northern municipalities get? For projects in the north and in municipalities below average development the interest rate is 0.5 percentage points lower, and special lower rates apply to women's and development loans.
Sources
The transition of the IRF into the Development Bank is described in the bank's announcement on starting work of April 2025. Amounts, interest rates, terms, borrowers, fees, collateral and documents are set by the 2026 programmes: loans for business start-ups, women's entrepreneurship, development loans for micro, small and medium-sized businesses, tourism and hospitality and agriculture and food production. The information was checked on 28 September 2026; check the conditions with the bank before applying. Fijaka is a classifieds platform; this text is not financial advice.