There is a good level of preparation in this chapter and some progress was made in the past year. In the coming year, Montenegro should in particular:

• focus efforts on increasing participation in the EU’s Horizon 2020 Programme;
• continue to streamline efforts to increase investment in research, in particular through stimulating investment by the private sector.

Montenegro participates in the EU’s Horizon 2020 Research and Innovation programme (H2020) as an associated country and took part in the first meeting of the H2020 Joint Committee in September. Workshops, information days and regular ‘Open Door Days’ on specific H2020 topics were held. Successful participation, however, remains weak and should be addressed as a priority, including through focusing efforts on areas of strategic interest to the country.

Montenegro research teams participated in 26 COST (European Cooperation in Science and Technology) actions and three national projects were awarded to Montenegro for the 2016/17 cycle under the 2014-2020 Framework Programme for Cooperation with the International Atomic Energy Agency. Participation in EUREKA remains limited. In March, Parliament ratified the contract on establishing the Western Balkans Research and Innovation Centre. Although the 2016 budget for scientific research activities was increased, the latest official MONSTAT figures indicate total national spending on research and development (R&D) in2014 at 0.36% of GDP. Work to improve the quality of data for R&D and innovation statistics is ongoing.

Also, the newly adopted strategy on innovative activity (2016-2020) includes more realistic targets for an increase in national and private expenditure by 2020 (0.6% of GDP in overall national R&D spending and 0.3% of GDP for private investment). The level of investment in research, particularly from the private sector, needs to be increased.

Construction of the ‘Technopolis’ innovation and entrepreneurship centre was completed and the selection of entrepreneur tenants is finalised; the centre was formally opened in September 2016. The capacity of the BIO-ICT Centre of Excellence was further increased through the purchase of scientific equipment. Under the Higher Education and Research for Innovation and Competitiveness (HERIC) project, a national excellence scholarship Programme is being implemented for awarding PhD and postdoctoral studies abroad.

The Montenegrin Council for Scientific Research Activities adopted a national roadmap for the European Research Area in April 2016.

On innovation union, the law on innovation activities was adopted in June, governing the organisation, conditions and manner of financing innovation activities.