The ring road around Budva solves the traffic chaos: Here's what the new ring will look like

In an interview with Portal ETV, Minister of Transport Maja Vukićević revealed that the project, a major infrastructure undertaking spanning 9.3 kilometers and including two tunnels, eight bridges, and two key traffic loops, has already been included in the capital budget. The tender is expected to be announced immediately following the technical review.

The Minister also discussed the second section of the highway, the construction of which could begin in the fall, as well as multimillion-euro investments in the railway system and the procurement of new trains. She also addressed the sensitive topic of airport concessions, confirming that the tender is active but noting that there was no official interest expressed by either Serbia or Albania.

She further commented on the Tivat–Jaz boulevard project, stressing that despite seasonal congestion, the works are proceeding on schedule.

Portal ETV: Can you specify when the construction of the second section of the highway is scheduled to begin? What will the implementation cost? Who will carry out the work, and why was that contractor selected? When is the second section expected to be completed?

VUKIĆEVIĆ: The construction of the second section of the highway is one of the key infrastructure priorities of the Government of Montenegro. It is being implemented in cooperation with the European Commission and the European Bank for Reconstruction and Development (EBRD). Monteput is responsible for carrying out the tender procedure, which follows international standards and EBRD rules. Each stage of the process requires the prior approval of the Bank.

According to Monteput and the EBRD, the contractor is expected to be selected by the end of the summer, after which preparatory work will commence. Currently, technical bids are being evaluated, and only companies that pass the technical assessment will be invited to submit financial bids. Therefore, it is not yet possible to say who will execute the works. However, as the competent ministry, we have taken all steps to ensure the procedure is as transparent as possible.

Let me remind you that, back in January, in cooperation with the EU Delegation, we organized an EU Info Day, where we presented all planned infrastructure projects. We recently signed the Grant Agreement for consultancy services, and we expect to sign the Loan Agreement with the EBRD during the summer.

Portal ETV: What is happening with the airport concession tender? Is it still active? Was there any pressure on the tender commission, and if so, from whom? Should Montenegro monetize its airports or keep them under state control? Does the state have the financial capacity for that? Have Serbia or Albania expressed interest in Montenegrin airports, either directly or indirectly?

VUKIĆEVIĆ: The tender for awarding airport concessions in Montenegro is still active. The financial bid evaluation phase is currently underway. The work of the tender commission has been extended for an additional 30 days to allow sufficient time to prepare a report for the Ministry of Transport, which will then have another 30 days to forward its recommendation to the Government for a final decision.

Unfortunately, during the procedure, some information was leaked and appeared in the media just minutes after it was submitted to the commission. This undoubtedly harms the integrity of the process. Nevertheless, I believe the Government, as the final decision-maker, will consider all the relevant circumstances. My stance is that the public should be involved as much as possible in decisions on strategic projects.

Montenegro’s airports require substantial infrastructure investments. The lengthy concession procedure has objectively delayed their development. I believe the state can manage the airports independently, especially considering the expertise of Director Roko Tolić. We should not exclude the option of state investment. In any case, the Government’s decision and the optimal model for our airports will be known soon.

During my mandate, there has been no expressed interest from either Serbia or Albania. If there was such interest in earlier stages, I am not aware of it. In my opinion, such scenarios are unrealistic today, especially since the airports in those countries have already been granted under concession.

Eight Bridges, Two Tunnels...

Portal ETV: The Budva ring road is a key issue for resolving traffic congestion in that part of the country. When will construction begin, and when will the bypass be operational? What is the projected cost, and how will it be financed?

VUKIĆEVIĆ: The Budva ring road is one of the most important traffic projects on the Montenegrin coast. It is a 9.3-kilometer high-speed road, part of the European TEN-T network, designed to divert transit traffic from the center of Budva.

The route includes two key interchanges; Markovići and Lastva Grbaljska, eight bridges with a total length of 1.74 kilometers, and two tunnels totaling 3.98 kilometers. This project will significantly ease traffic in the Budva area, reduce travel time, improve safety, and enhance the tourism offering.

At the initiative of the ministry, the project has been included in the capital budget. After the upcoming technical rebalancing, a contractor tender will be announced. If there are no complaints, the contract is expected to be signed by the end of the year. Monteput oversees implementation.

The Importance of the Tivat–Jaz Boulevard

Portal ETV: The Tivat–Jaz boulevard project is important. This season will be challenging due to ongoing works. When is the project expected to be completed? Are there any property disputes that could hinder its full implementation?

VUKIĆEVIĆ: The Tivat–Jaz boulevard is one of the most important projects for improving transport connections along the coast. The work is ongoing. Although the tourist season makes traffic complicated, I would like to remind you that the project was contracted during the mandate of the previous government and commenced without a valid building permit, which caused initial delays. The actual works began in January 2024, and the agreed completion date is January 2026.

There are some isolated cases of issues with expropriation, but they are not systemic. Alongside the road construction, works are also being carried out on the regional water supply system and a new water network for the Municipality of Kotor, as well as other related installations.

It is important to emphasize that the project is proceeding on schedule, despite frequent public claims of delays. In fact, those who originally contracted the project were aware that it would impact two summer seasons.