The European Bank for Reconstruction and Development (EBRD) and the European Union (EU) are providing significant financial support for Montenegro’s Bar–Boljare highway, with the aim of improving the country’s internal and regional transport connectivity. The new financing will cover construction of the Matesevo–Andrijevica section of the highway, which will run approximately 22 kilometers through challenging terrain and link Montenegro’s underdeveloped northern regions with its central and southern areas. The EBRD is extending a sovereign loan of up to €200 million to fund the detailed design, construction, and supervision services for this highway segment. In parallel, the EU is contributing an investment grant of up to €150 million, of which €100 million is being formalized immediately, with the remaining €50 million expected later in 2025. This follows a previous EU grant of €4.7 million for project feasibility and design, provided under the Western Balkans Investment Framework (WBIF). The highway is considered a strategic infrastructure project by the Montenegrin government. It forms part of the Trans-European Transport Network (TEN-T) and is intended to strengthen national cohesion, improve mobility, and promote regional economic development by linking the Adriatic coast with the Serbian border and onward to Central Europe. The project is expected to reduce regional disparities, improve road safety, and stimulate investment. Monteput, the state-owned company responsible for Montenegro’s highway network, will implement the project. EBRD Regional Director Matteo Colangeli emphasized the highway’s potential to boost economic development, tourism, and trade, noting that this marks the EBRD’s 100th project in Montenegro since it began operations in the country in 2006. EU Ambassador Johann Sattler described the highway as a foundational element of sustainable economic development and reaffirmed the EU’s broader commitment to Montenegro’s European integration. The EU has already supported various transport projects in the country with more than €350 million in non-repayable grants, including €110 million for railway upgrades along the same corridor. Montenegro’s Minister of Finance, Novica Vuković, and Prime Minister Milojko Spajić both highlighted the agreements as examples of effective international cooperation. They emphasized the broader goals of balanced development and improved living standards, positioning the project as a step toward stronger regional ties and EU accession. The EU and EBRD’s joint efforts reflect a long-term strategy of combining grant funding with development loans to lower Montenegro’s financial burden while enabling large-scale infrastructure development aligned with European standards. Since 2007, the EU has provided more than €988 million in combined technical and financial support for Montenegro’s transport sector through partnerships with the EBRD and European Investment Bank (EIB).