Montenegro, a former Yugoslav republic of about 650,000 people, joined the International Monetary Fund and World Bank, as it looks for help in maintaining economic stability.
The IMF will work with Montenegro to reap the benefits of foreign direct investment and tourism, IMF Managing Director Rodrigo de Rato said in a statement. The articles of agreement were signed today in Washington. Montenegro, which means black mountain, is the smallest of the former Yugoslav republics. The country split from Serbia last year, marking the final division of the Yugoslav republics after Slovenia, Croatia, Macedonia and Bosnia-Herzegovina won independence in the 1990s. Montenegro joined the United Nations last June.
„Montenegro's transition to independence has been impressive, economic activity has recovered, and the country has increasingly become the focus of investor interest,” de Rato said. Montenegro is the 185th country to join the IMF and the World Bank, which are both based in Washington. It paid an initial $41.2 million share to join the fund. The IMF in June projected Montenegro's economy would grow between 5.5% and 6% in both 2006 and 2007. Founded at the end of World War II to promote global economic stability, the IMF keeps a watch on the currency, trade and economic policies of its member nations. It finances its operations with interest it charges on loans to nations in economic distress.(Bloomberg)