RCF Awards Nearly Half a Million Euros to a Project from Montenegro

The fourth National Grant Award Ceremony of the Regional Challenge Fund (RCF) was held on 30 April 2026 at the Chamber of Economy of Montenegro (PKCG). The event was an opportunity to recognize the people and partnerships shaping the future of skills, bringing together national and international partners, as well as representatives of institutions, the business community, and the education sector, alongside RCF representatives.

Under the fourth call, funding in the amount of EUR 498,239 has been awarded to a project from Montenegro. The consortium is led by the Public Institution Secondary Vocational School in Bijelo Polje, in partnership with eight institutions from the healthcare and education sectors, including the General Hospital Bijelo Polje, Primary Healthcare Centre Bijelo Polje, the Elderly Care Home Bijelo Polje, as well as other relevant partners.

The aim of this cooperation is to improve the quality of vocational education through the modernization of equipment and infrastructure, as well as to strengthen practical training within the cooperative education programme for healthcare and gynaecological-obstetric technicians, in line with labour market needs.

Zoran Vuković, director of the Secondary Vocational School, stated that this grant confirms that knowledge, dedication, and teamwork produce results.

“This project confirms that investing in education is not an expense, but the most important investment in the future of any society. Our school has successfully fulfilled its mission for 104 years – to educate, nurture, and prepare young generations for life and work. Over more than a century of existence, we have educated over 30,000 students who, through their knowledge, work, and professionalism, have made a strong contribution to the development of Bijelo Polje, the north of Montenegro, and the wider region. A donation worth half a million euros, intended for equipping classrooms for theoretical and practical training in the medical field, represents an investment in knowledge, healthcare, and a safer future for our society. Modernly equipped classrooms will enable our students to acquire knowledge and skills in conditions that meet the highest educational standards,”  said Vuković.

Dr. Kenan Erović, director of the General Hospital in Bijelo Polje, stated that this is not only an educational project, but also a direct investment in the healthcare system.

“Through this model of cooperative training, we as a healthcare institution have the opportunity to actively participate in the education of future professionals, to transfer practical knowledge, and, together with the school, to shape profiles that are truly needed in the labor market. The essence is clear – for education to respond to the real needs of the labor market. I would especially like to emphasize that this model of cooperation can have significance beyond the local level. If it is implemented consistently, I believe it can serve as an example of good practice for other communities in Montenegro, as well as in the region,” Erović stated.

Balša Ćulafić, RCF Project Coordinator on behalf of the Western Balkans Chamber Investment Forum and Coordinator for Cooperation with International Organizations at the Chamber of Economy of Montenegro, reflected on four calls implemented so far in Montenegro, through which numerous projects focused on developing knowledge and skills needed by the domestic economy have been supported.

“Through four calls to date, projects worth nearly EUR 4 million have been supported, involving a large number of companies and vocational education institutions, while more than 1,500 students and trainees are already attending programmes developed in cooperation with the business sector. In this way, the Regional Challenge Fund continues to build a sustainable model of cooperation between education and business, contributes to the development of skills in strategic sectors, and creates new employment opportunities for young people, while at the same time strengthening the competitiveness of Montenegro’s economy,”  Ćulafić noted.

Dr Nina Drakić, President of the Chamber of Economy of Montenegro, stated that the Regional Challenge Fund represents one of the most significant regional initiatives, providing solutions through investments in equipment, infrastructure, and jointly developed training programmes.

“What is particularly important is that the supported projects cover sectors of strategic importance for the development of Montenegro’s economy. These include energy and renewable energy sources, information and communication technologies, tourism and hospitality, economy and business services, as well as security and the healthcare sector. However, the RCF does not only provide financial support. Its greatest value lies in the partnerships built between education and business. Each supported project involves joint programme planning, joint investment in equipment and infrastructure, and continuous cooperation between schools and companies. In this way, a sustainable system of cooperative education is gradually being developed in Montenegro, enabling more flexible programmes, more modern workshops and laboratories, as well as a direct transition of students from education to the world of work,” Drakić stated.

Marija Gošović, Director General of the Directorate for General and Vocational Education, congratulated the awardees and emphasized the importance of supporting projects that align skills with labour market needs.

“Today, we are investing in the most valuable resource Montenegro has, the knowledge and skills of our young people. Only education that is closely connected with the economy can offer young people a secure path to employment and a reason to build their future here.” Gošović said.

Support for the project and the importance of international cooperation were also highlighted by H.E. Peter Felten, Ambassador of Germany to Montenegro.

“By fostering partnerships between vocational education institutions and employers, the Regional Challenge Fund (RCF) helps ensure that vocational education programmes are closely aligned with labour market and employer needs. This is also an effective concept for reducing labour outflow from Montenegro. The success of numerous projects supported in previous years demonstrates that this approach works. That is why Germany finances the RCF, together with our Swiss partners. I am particularly pleased that this year focuses on the healthcare sector and supports a partnership in Bijelo Polje. The north of Montenegro is often considered less economically developed. However, its institutions and people possess strong professional potential and commitment. Otherwise, the project in Bijelo Polje would not have succeeded in competing with so many strong proposals from across the country,” Felten stated.

Aleksandra Lalević, Director of the Centre for Vocational Education, stated that the awarding of grants under the Regional Challenge Fund represents a strong incentive for improving education in Montenegro.

“For the Centre for Vocational Education, initiatives like this are of particular importance, as they contribute to the modernization of the system and strengthen its connection with the economy. Through such programmes, conditions are created for the development of practical knowledge and skills, which are key to youth employability and the competitiveness of the economy. Strengthening cooperation between educational institutions and companies remains one of our priorities in the further development of the vocational education system,” Lalević stated.

The grant award ceremony in Podgorica once again demonstrated that investing in the knowledge and skills of young people delivers tangible results, especially when the education system and the business sector are aligned towards a common goal. Programmes like this help ensure that education keeps pace with the evolving needs of the labour market, while providing young people with clearer prospects for employment and career development in Montenegro

The Regional Challenge Fund (RCF) aims to strengthen the labour market relevance of vocational education and training by funding investments in equipment and infrastructure for training providers that engage in cooperative training activities with partnering enterprises. Youth unemployment, combined with a lack of skilled labour among the enterprises, characterise the economic situation in the Western Balkans. Hence, the aim of the Fund is to increase the employability of VET students by reinforcing a cooperative training approach in the economies of the Western Balkans 6: Albania, Bosnia and Herzegovina, Kosovo, Montenegro, North Macedonia and Serbia.

The German Federal Ministry for Economic Cooperation and Development commissioned 83.4 million EUR for the RCF, and the Swiss Government, represented by the SDC Swiss Development Cooperation, co-financed an additional 10 million EUR. The funds were commissioned to the KfW Development Bank and executed by the Western Balkans 6 Chamber Investment Forum (WB6-CIF), a joint initiative of chambers of commerce from the region. The Fund is implemented by the consultant consortia.

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