Since 2008, the Union of Free Trade Unions of Montenegro (USSCG) has been focused on improving housing policy, particularly in the areas of social housing and sustainable solutions for citizens. General Secretary Srđa Keković stated that their initiative aims to establish an affordable housing fund owned by the state, allowing for the construction of apartments that can be rented to citizens at favorable rates.
Despite their ongoing efforts and submitted resolutions, housing policy remains inadequately addressed.
Ongoing challenges for citizens
Citizens face numerous challenges, such as difficulties in obtaining housing loans and rising property prices, which worsen their living conditions. This situation has contributed to increased emigration and a decline in natural population growth.
“State-owned apartments would be available for rent at reasonable terms. The government has not adequately addressed the housing problems of its citizens, aside from the ‘Thousand Plus’ project, which merely provided affordable loans that many cannot access due to low incomes. While local authorities attempt to develop more affordable housing options for vulnerable populations, the state lacks a coherent vision for housing policy and does not prioritize this crucial issue,” Keković emphasized at a press conference where Austrian experts presented models of social housing.
He recalled that their resolution calling for housing policy reform was intended to be formalized into law with the government in 2020. However, due to frequent changes in leadership and three different governments over the past four years, they have struggled to reach an agreement on this matter. The union hopes that the current administration will recognize this pressing issue and seek a legislative solution.
Consequences of ineffective housing policy
Keković pointed out that the ineffective housing policy, which is fully governed by a free market where only a small percentage of the population can afford to buy housing, contributes to troubling social trends: delayed marriages, reduced birth rates, dependency on parents, increased emigration and uncontrolled construction by private firms dictating market prices.
“We advocate for the construction of state-owned apartments to be rented at favorable rates to those who cannot secure housing under market conditions, without the possibility of ownership. Establishing a national housing fund as a central authority would generate revenue and redistribute it to local housing initiatives, manage state-owned apartments, and foster public-private partnerships for new housing developments,” the resolution states.
Tenant concerns
At the press conference, experts from Vienna shared their model of social housing, asserting its viability in Montenegro.
The Association of Tenants of Montenegro, known as “Moj dom,” recently highlighted the alarming situation for tenants in Podgorica and beyond, noting that their issues remain unaddressed.
“The exact number of tenants in Montenegro is unknown due to the lack of an official registry that accurately reflects this important demographic. This absence complicates planning and the implementation of measures needed to provide essential support to tenants,” they stated.
They also pointed out that there is no government initiative aimed at assisting tenant families, nor is there a social housing policy offering sustainable solutions for those without their own homes.
“The unrealistic hike in rental prices further complicates an already difficult situation, and the lack of legal protections enables landlords to raise rents without any limitations, leaving tenants in precarious and often unsustainable living conditions,” the association added.
Additionally, they mentioned that laws regarding illegal rental practices, which could facilitate tax collection from landlords, are not consistently enforced.
