Bijelo Polje, (MINA-BUSINESS) – According to a survey by the Centre for Economic and European Studies (CEES), many companies are postponing investments and business expansion due to high taxes, fees and other levies.

The survey, conducted for CEES by DeFacto Consultancy, found that 86.6 percent of businesses believe fiscal and parafiscal burdens have had a negative impact on their investment plans, while 60 percent said high levies encourage activity in the informal economy.

The findings were presented at a workshop in Bijelo Polje held as part of the project “Economic development of northern municipalities: How to achieve greater development through levy reform?”

Opening the workshop, Selma Omerovic, President of the Bijelo Polje City Council, said that businesses in northern Montenegro have for years been highlighting the same priorities, including fewer administrative procedures, a stable regulatory framework and better communication with institutions.

Presenting the survey results, Slaven Zivkovic of DeFacto Consultancy said 65 percent of respondents believe high fiscal and parafiscal levies have limited their ability to hire new workers over the past year, while 73.4 percent identified municipal land development charges as one of the most significant local burdens.

Project coordinator Nina Vujosevic said that CEES’s analysis showed that local levy policies in larger northern municipalities, such as Bijelo Polje and Berane, are generally stable and more predictable, while smaller municipalities more frequently change the level and number of local levies to increase budget revenues.