Sunday, July 20, 2025
The Adriatic kingdom, known as Montenegro, wasn’t what it was supposed to be and was hammered by a rough tourism season in 2025. For decades, the Montenegrin coast was a popular spot for sun-and-culture worshippers. Its scenic landscapes, medieval cities, and turquoise waters on the Adriatic have long made it a magnet for European and other sightseers. But this year, the country’s tourism economy is facing an array of problems, from logistical nightmares to a strained economy. The tourism infrastructure has been pushed to breaking point, tourists are becoming increasingly disgruntled, and the reputation for travel in Montenegro has been battered.
One that was expected to be a successful summer season but one that has exposed widespread underlying problems in Montenegro’s tourism sector. Now it is empty sunbeds, long queues of traffic, packed hotels, and tourists who want to cut short their stay or even leave the country early. These unsettling signs of disorganization suggest a place that did not anticipate the wave of tourism that it used to welcome. This precipitous fall calls into question how Montenegro will be able to manage and sustain its tourism-based economy in the future.
Empty Beaches: A Sight of Desolation
One of the most visible signs of the current tourism crisis in Montenegro is the emptiness of its once-bustling beaches. The stretch of coastline from Budva to Herceg Novi, known for its pristine beaches and crystal-clear waters, is far from the packed paradise it used to be. Sunbeds that would have been filled with tourists just a few years ago now lie vacant under the blazing summer sun. Hotels along the coast, once brimming with guests, report lower-than-expected occupancy rates, and restaurants that should have been teeming with customers in peak season are sitting empty.
Many tourists, who had planned on staying for an extended period, are cutting their trips short due to frustrations with the overall experience. Long waits at airports, poor service at restaurants, and an overall lack of attention to detail have left travelers with a bitter aftertaste. These empty beaches, once considered an idyllic getaway, now serve as a stark reminder of the challenges facing Montenegro’s tourism sector.
Traffic Chaos and Infrastructure Strain
A major contributor to the tourism crisis is the severe congestion on Montenegro’s coastal roads. The Tivat-Budva route, which connects some of the most popular tourist towns, has become a bottleneck, with long lines of cars often stuck in traffic for hours. During what should be a relaxed vacation, visitors find themselves spending a disproportionate amount of time on the road, struggling to reach their destinations.
This traffic congestion not only frustrates tourists but also severely hampers the local economy. Locals who rely on smooth transportation for the delivery of goods and services are facing delays. The problem is compounded by an aging infrastructure that is ill-equipped to handle the high volume of traffic during peak seasons. Montenegro’s failure to modernize its roads and transport systems has left the tourism experience compromised, turning what should be a leisurely escape into a stressful ordeal.
Economic Strain and Declining Revenues
The economic impact of the tourism downturn is already being felt across Montenegro. As one of the country’s primary economic drivers, tourism’s contribution to the national GDP is considerable. However, with fewer visitors arriving, businesses that rely on tourism are facing financial hardship. Empty hotels, restaurants, and shops mean lower revenue, which trickles down to affect employment rates in the hospitality and service sectors.
Montenegrin businesses in coastal towns are struggling to stay afloat. Many small business owners have voiced concerns about their ability to survive the season without significant foot traffic from tourists. The local economy, which is heavily dependent on seasonal tourism, is bearing the brunt of the slowdown. If the situation persists, many fear that the region’s economic stability could be at risk.
Additionally, the government’s failure to address the root causes of the tourism decline—such as delayed public tenders, bureaucratic inefficiencies, and a lack of strategic long-term planning—has further compounded the crisis. This mismanagement not only affects businesses directly in the tourism sector but also undermines the overall economic growth of the region.
Mismanagement and Public Sentiment
The tourism sector’s difficulties in 2025 are not only the result of external factors such as weather or global economic trends. A significant portion of the blame falls on the Montenegrin government and its inability to effectively manage the country’s tourism infrastructure. The Public Enterprise for Coastal Zone Management, which is responsible for overseeing coastal development and tourism activities, has been criticized for inefficiency, lack of transparency, and poor decision-making.
Delays in essential public tenders, non-transparent practices, and rising operational costs have resulted in a dysfunctional system that has contributed directly to the decline in tourism. Additionally, a sharp increase in VAT rates, along with soaring inflation, has made it more expensive for both businesses and tourists to engage in everyday activities, further discouraging visitors from staying longer. The state of the public enterprise reflects the broader issues of governmental mismanagement that have plagued Montenegro’s tourism industry in recent years.
Calls for Decentralization and Local Governance
Amid the chaos, there are calls for decentralization as a potential solution to the country’s tourism woes. Experts argue that local governments, being closer to the issues and more in tune with the needs of their communities, could more effectively manage the coastal areas and tourism-related activities. Local authorities could better allocate resources, address infrastructure problems, and provide a more tailored approach to the tourism experience. By empowering municipalities to oversee tourism planning and development, Montenegro could reduce bureaucratic inefficiencies and better serve both visitors and locals alike.
Decentralization could also help to lower the costs associated with tourism management, as local governments may be able to operate more cost-effectively than the central government. This shift in governance could foster a more accountable and responsive tourism sector that is better suited to handle the demands of modern travelers.
Potential Solutions for Revitalizing Montenegro’s Tourism Sector
While the situation may seem grim, there are several avenues through which Montenegro can work to restore its tourism sector and ensure that the country remains a viable destination for travelers. These solutions include:
Infrastructure Overhaul: Montenegro must invest in improving its roads, transportation networks, and public facilities. A modernized infrastructure would alleviate traffic congestion, reduce travel times, and make the country more accessible to tourists.Enhanced Services and Customer Experience: Improving the quality of service in hotels, restaurants, and other tourism-related businesses is essential. Training workers, reducing bureaucracy, and ensuring better communication can enhance the overall visitor experience.Sustainable Tourism Practices: Emphasizing sustainability and ecotourism could attract a new wave of tourists who are more conscious of their environmental impact. By promoting green tourism initiatives, Montenegro can position itself as a leader in responsible travel.Community Involvement: Local communities should play an active role in tourism planning and management. This approach will ensure that the needs of the local population are considered and tourism benefits are more evenly distributed across the region.Conclusion: Navigating the Crisis
The year 2025 is a period of crucial importance for tourism in Montenegro. The challenges are immense, but so too is the opportunity for enduring change. And so, by overcoming its infrastructure problems, raising the level of its services, and decentralizing tourism, Montenegro can re-enter the pantheon of top European destinations. With the appropriate policies and investment, it allows the country to transform this black swan event to be an opportunity for rejuvenation and to make the country stay attractive and sustainable for future generations of travelers.
References: Montenegro Government Official Website
