Central Bank of Montenegro Prepares for Instant Payments Launch

The Central Bank of Montenegro (CBCG) is gearing up to implement an instant payments system as part of the TIPS Clone project. This initiative comes in collaboration with the World Bank and with support from the European Commission. A two-day regional workshop focused on the regulatory and operational responsibilities of banks in preventing money laundering and combating the financing of terrorism (AML/CFT) and fraud.

This workshop brought together representatives from the CBCG, the Montenegrin banking sector, and regional central banks. The primary objective was to enhance mechanisms for identifying, monitoring, and managing risks associated with real-time payments. During the opening of the Regional Workshop, Dr. Irena Radović, Governor of the CBCG, emphasized that the development of instant payments must be accompanied by robust control and supervisory mechanisms, particularly to prevent financial abuses and safeguard the stability of the financial system.

Dr. Radović highlighted that the CBCG is developing a regulatory framework fully aligned with European Union standards and Eurosystem practices. The focus is on ensuring the security and reliability of the system, especially regarding the prevention of abuses, financial fraud, and strengthening the framework to combat money laundering.

The bank is intensively working with commercial banks to adapt technical and operational solutions to ensure the stable and controlled implementation of the instant payments system, which is set for launch in July 2026. This modernization aims to enhance Montenegro’s payment system while expediting its integration into the European Union’s single payment market.

Experts from the World Bank, European Payment Council, and international financial institutions presented current European standards and risk management operational models for instant payments systems. The discussions particularly focused on suspicious transaction detection models, real-time risk assessment, rapid response mechanisms, and improving coordination between financial institutions and regulatory authorities.

Additionally, experiences from European Union member states and national central banks of the Eurosystem regarding AML/CFT and anti-fraud challenges in instant payments were shared. The workshop is part of a broader initiative funded by the European Commission to modernize payment systems in the Western Balkans, implemented by the World Bank.

This event continues the regional initiative launched by the Central Bank of Montenegro in September of the previous year in Podgorica, where high-level representatives from central banks, supervisory and regulatory bodies, and international experts on supervision and payment systems convened to discuss AML and CFT in instant payments. During that session, international partners and representatives of national central banks shared their regulatory and operational experiences in implementing instant payments and managing associated risks.