The European Commission has approved the initial release of funds under the Reform and Growth Facility for the Western Balkans, in accordance with implementing decisions adopted on 30 July 2025. These implementing decisions specify the amounts and the procedure for the release of the non-repayable and the loan support for Montenegro and North Macedonia.
The implementing decisions are accompanied by the first formal assessments under the Reform and Growth Facility for the Western Balkans, offering detailed evaluations of the reforms implemented by North Macedonia and Montenegro. The assessment covers the payment conditions for the period since the entry into force of Regulation (EU) 2024/1449 on 25 May 2024 and until 28 February 2025, i.e the first deadlines in the respective Reform Agendas.
North Macedonia
The European Commission found that only 2 of 5 conditions are fulfilled by North Macedonia. With that, the country will receive €7,918,701.90 net (post-pre-financing clearance): €2,272,568.64 in non-repayable grants and €5,646,133.26 in loans, with 34.75% (€1,962,031.31) allocated to the Western Balkans Investment Framework (WBIF). North Macedonia got finances for amending the corporate law to introduce new rules on the appointment of independent board members of State Owned Companies in the Business environment and private sector development policy area, as well as for the adoption of the Public Internal Financial Controls (PIFC) Law in the Governance, Public Administration Reform and Public Financial Management policy area.
The Commission’s implementing decision approving the first release of funds to North Macedonia is available at: https://reform-monitor.org/wp-content/uploads/2025/09/COMMISSION-IMPLEMENTING-DECISION-approving-the-first-release-of-funds-to-North-Macedonia-under-the-Reform-and-Growth-Facility-for-the-Western-Balkans.pdf
The Assessment of the Conditions for Payments is available at: https://reform-monitor.org/wp-content/uploads/2025/09/ANNEX-%E2%80%93-Assessment-of-the-Conditions-for-Payments-%E2%80%93-North-Macedonia.pdf
Montenegro
Montenegro met 7 of 14 conditions, unlocking €10,178,175.47 net (post-pre-financing clearance): €2,921,009.36 in non-repayable grants and €7,257,166.11 in loans, including 34.75% (€2,521,865.22) for WBIF projects. Montenegro released funds by improving the transparency of the inter-governmental agreements and third-country contracts, and keeping a publicly available and up to date register of SOEs and companies with State’s participation, including municipal companies in the Business environment and private sector development policy area. They also released funds by ensuring the issuing of Energy Performance Certificates (in line with the EPBD) and amended the relevant legislation to enable effective decision-making on energy efficiency investments for homeowners as part of the Energy and Green transition policy area. In the policy area of Digital Transition they adopted the Law on Information Security in full alignment with the NIS2 directive, they adopted the National Plan for deployment of Broadband infrastructure by the Government and a plan for full deployment of transactional national and local level public electronic services 2025-2027. The final implemented reform was the appointment of the Supreme Court presiding as part of the Fundamentals and Rule of Law policy area.
The Commission’s implementing decision approving the first release of funds to Montenegro is available at: https://reform-monitor.org/wp-content/uploads/2025/09/COMMISSION-IMPLEMENTING-DECISION-approving-the-first-release-of-funds-to-Montenegro-unde.pdf
The Assessment of the Conditions for Payments is available at: https://reform-monitor.org/wp-content/uploads/2025/09/ANNEX-%E2%80%93-Assessment-of-the-Conditions-for-Payments-%E2%80%93-Montenegro.pdf
Similar assessments are anticipated for Serbia and Albania. In contrast, Kosovo has not yet ratified the requisite loan and facility agreements essential for fund disbursement under the Facility, while Bosnia and Herzegovina lacks final approval from the European Commission on its submitted Reform Agenda.
