Foundation for Strengthening the IT Economy

The Assembly of Montenegro yesterday adopted two new development laws – the law on innovation activities and the law on incentive measures for Research and innovation development.

According to the Ministry of Science, these laws represent a fundamental measure for strengthening the IT economy and the functioning of the national innovation ecosystem, providing a wide range of incentives and benefits that apply equally to domestic and international companies.

“These laws open up new opportunities for increasing foreign investments in Montenegro and make our country an attractive destination for technological entrepreneurship and the testing of new technologies,” they stated in the announcement.

Regarding incentives and benefits, they particularly highlight tax exemptions for startups up to 5 years old, reductions in taxes and contributions by up to 50% for employment in innovative activities, as well as a 100% tax exemption on profits reinvested into innovative projects and startups.

“The expected effects of the new legislative framework will result in an increase in the number of startups with export potential, as well as an increase in the number of employees in the technological sector, alongside significantly greater investment in the innovation economy. This, in turn, will lead to enhanced competitiveness, economic growth, and a reduction in talent outflow,” the announcement concluded.

Sourse: FOS MEDIA