For the Second Time, the Municipality of Žabljak Achieves BFC SEE Certificate

The Municipality of Žabljak has successfully completed the another BFC SEE process, joining the network of local governments in Southeast Europe dedicated to building competitive and investor-friendly environments.

Located in northwestern Montenegro, Žabljak is the largest municipality of the Durmitor region, covering 445 km². Known as the “geographical roof” of Montenegro, with 30% of its territory lying above 1,500 meters, Žabljak is also home to the highest urban settlement in Southeast Europe at 1,456 meters above sea level. Tthe municipality is positioning itself as a regional leader in sustainable development, combining natural wealth with proactive governance.

What makes Žabljak stand out is its timely preparation of project documentation for state-funded capital projects. This has unlocked significant investments, including the reconstruction of the primary AC water pipeline (€1.6 million), construction of a modern administrative building for communal services (€2.6 million), development of a transfer station (€2.05 million), and the second phase of the SCADA system (€1.8 million). These projects will modernize infrastructure, reduce water losses, and enable efficient, digitalized resource management.

The municipality is home to a part of the UNESCO-protected Durmitor National Park and the Tara River Canyon - the second deepest canyon in the world. Rich forests, mineral resources, and vast agricultural land provide opportunities for forestry, wood processing, and farming. However, improving market access for agricultural products remains a priority, with local authorities recognizing the need for better logistics, collection centers, and stronger support for producers.

Tourism is emerging as Žabljak’s key economic driver, with year-round opportunities including skiing at Savin kuk, hiking, rafting, paragliding, and eco-adventures. Visitors can choose from a variety of accommodations — from traditional wooden lodges to modern hotels — while future development focuses on attracting high-value tourism through luxury facilities and premium experiences.

With improved infrastructure, responsible planning, and smart use of natural resources, Žabljak is laying strong foundations for long-term sustainable growth. By achieving BFC SEE certification, the municipality has reaffirmed its commitment to modernization, business development, and creating a more attractive environment for both investors and residents.

See what else the Municipality of Žabljak has to offer here.