The analysis shows that most of the debt (almost 98
%) goes to the bank claims. Namely, over 90 % of the
debt to households, businesses, government and other
sectors were approved by the banking institutions. It
means that Montenegrin economy is bank based with the
banking system as dominant sector in the financial system.
Therefore, from stability in this sector largely depends the
stability of the entire system. Because of that it is
extremely important to timely assess the level of risks that
each of these institutions generates and, if appropriate,
tailor measures in case of vulnerabilities identified in the
financial stability.