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Montenegrin Parliament approves controversial UAE beach lease deal

In a move that has stirred public and political backlash, the Montenegrin Parliament on Wednesday fast-tracked and approved legislation ratifying agreements with the United Arab Emirates for the long-term lease of the Great Beach in Ulcinj, on the Adriatic coast. The project faces criticism from environmentalists, local residents, and President Jakov Milatović.

Parliament chamber with lawmakers at desks with laptops, Montenegrin and European Union flags by the podium
fot. Skup? tina Crne Gore

In brief

Members of parliament in Montenegro approved under urgent procedure laws confirming the lease of Velika Plaža in Ulcinj to the United Arab Emirates for 99 years. The debate in the Montenegrin parliament lasted more than 12 hours and ended with the rejection of all opposition amendments. The investor from the United Arab Emirates announced construction projects in Ulcinj worth 30 billion dollars, including an airport, a hospital and two universities. President Jakov Milatović deemed the project contrary to the constitution and asked the European Commission for an opinion.

The heated parliamentary session stretched over 12 hours, during which all opposition amendments were rejected. Several opposition members walked out before the final vote.

The Montenegrin government previously signed two agreements with UAE investors, paving the way for the partial privatization of the Great Beach in Ulcinj — the southernmost city in the country. The investor has announced plans to develop tourism infrastructure worth $30 billion, including resorts, an airport, a hospital, and two universities. The lease is set for a 99-year term.

Montenegro's largest opposition party, the Democratic Party of Socialists (DPS), criticized the deal for its opaque procedures, lack of public consultation, and questionable contractual terms. President Milatović has argued that the agreements may violate the country's constitution and has called on the European Commission to assess the contracts’ compliance with EU legal standards.

The Ulcinj municipality has openly opposed the central government’s plan, and protests have been held locally as well as in the capital, Podgorica. Activists claim the UAE investors would be placed in a privileged legal position, potentially exempt from Montenegrin laws and oversight.

Environmental groups have also warned that the development could severely impact the region’s ecosystem, including one of Europe’s key bird habitats located near the beach.

Source: PAP / Gazeta Morska · Compiled by: Jakub Bawołek

Kamil Kusier executive editor All articles by this author →

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