Remarks of  Mr. Vladimir Mitrovic Minister of Tourism Republic of Montenegro Press Conference  International Hotel  Investment Forum Berlin, Germany

Mr. Vladimir Mitrovic

March 6, 2001

�Distinguished Members of the Press, thank you for being here.  On behalf of the people and the Government of the Republic of Montenegro, I would like to tell you that Montenegro is Open for Business!

Ten long years have passed since we last welcomed a significant number of visitors from Western Europe to relax at our many cozy and sandy beaches, ski and hike through our unspoilt mountain expanses, experience the beauty of our UNESCO protected national parks, visit our many cultural sites, live our traditions and enjoy the hospitality of our people.

Montenegro, which has one the most beautiful and scenic coastal and mountain regions in the Mediterranean, has extensive and unrealized potential for developing a healthy, environment friendly tourism industry.  Yes, we are officially an �Ecological State�.

With flight times from most Western European capitals of 2 to 2.5 hours, Montenegro is competitive with other short-haul/long-weekend destinations in the Mediterranean.  For example, the Kotor Fjord, with its mild climate, offers an ideal �winter escape� for Senior Citizens from the UK, Scandinavia, Finland, Russia, the Baltic States, and other Northern European regions.  Currently, we are negotiating with several airlines to provide direct and competitive air-service to Montenegro from major hubs in Europe.

We recognize that our most important challenge to attract up-market visitors is to modernize our aging hotels and resorts and to �jump start� the tourism industry with a new vision and new innovative resort products.  DEG and FLAG International are assisting us in the re-development of a healthy tourism industry for the new Millennium.

Most importantly, our government recognizes that �Privatization� of the Tourism Industry is the �key� to develop Tourism as a major Sector of our Economy.  Montenegro is inviting strategic investors and leading Hotel Brand Operators to modernize its 1970 vintage hotels, open up affluent tourism markets, bring modern management techniques and create new, innovative resort and leisure offerings for visitors and our citizens to enjoy through all four seasons.

The basic principles for the Privatization Program include transparency, efficiency, impartiality and protection of property rights.  The Privatization Program for the Tourism Industry focuses on selling five enterprises through international tenders, privatizing seven enterprises through re-capitalization, selling eight hotel assets through international tenders and privatizing enterprises within a re-structuring project by the World Bank.
 

The Montenegro Hotel Investment Conference is scheduled for May 16-18, at the once world-renowned IGALO Health Center and Spa Resort in Herceg Novi, and, during the Forum, our Government and citizens plan to present viable investment opportunities to strategic investors and global hotel brand operators.  We will introduce our new Master Plan for tourism development at the Investment Conference.  The plan,

IGALO Health Center  and Spa Resort

The plan highlights the extraordinary prospects for tourism development in Montenegro.  Projects will include tenders for the sale of enterprises, tenders for the sale of hotel real estate assets as well as 20-30 new projects as opportunities for new developments of resort hotels, resort condominiums, amusement parks and other tourist facilities.

Strategic Investors in the Montenegro Tourism Industry will find that they can invest with confidence and share in all the wealth that Tourism in Montenegro has to offer.  In return, we expect that a healthy tourism industry will create many new opportunities and a better life for our citizens.

Thank You!�