Decision amending the Decision on Remuneration in Credit Institutions

Pursuant to Article 44 paragraph 2 item 3 of the Central Bank of Montenegro Law (OGM 40/10, 6/13, 70/17, 125/23) and Article 124 paragraph (5) of the Law on Credit Institutions (OGM 72/19, 8/21, 24/25, 14/26), the Council of the Central Bank of Montenegro, at its meeting held on 15 September 2026, passed the following DECISION AMENDING THE DECISION ON REMUNERATION IN CREDIT INSTITUTIONS
Article 1
In the Decision on Remuneration in Credit Institutions(OGM 94/25), in Article 5 paragraph (1) item 7), the Montenegrin word translated as “remuneration” shall be replaced by another Montenegrin word with no relevance to the English translation.
Article 2
In Article 6 paragraph (1), the words: “and Article 47” shall be deleted. In paragraph (2) item 11), the Montenegrin word translated as “credit” shall be replaced by another Montenegrin word, with no relevance to the English translation. In paragraph (3) the words: “financial position” shall be replaced by the following: “other characteristics”. In paragraph (4) the words: “paragraphs (1) and (2) of this Article” shall be replaced by the following: “the principle of proportionality referred to in this Article”.
Article 3
In Article 7 paragraph (1) item 3), the words: “control functions” shall be replaced by the following: “internal control functions”. In paragraph (5), after the words “consistency of the” the following shall be added: “gender-neutral”, and after the words: “risk management”, a comma and the following shall be added: “including the credit institution’s ESG risk appetite”.
Article 4
In the heading of Article 9 and in paragraphs (1) and (8), the words: “control functions” shall be replaced by the following: “internal control functions”.
Article 5
In Article 11 paragraph (7), the words: ”control functions” shall be replaced by the following: “internal control functions”.

Article 6
In Article 12 paragraph (2) the words: “and the procedures for its implementation, and in particular of the provisions applicable to that employee,” shall be replaced by a comma and the following: “the procedures for its implementation, and”.
Article 7
In Article 13 paragraph (3) item 2) and in the introductory sentence of paragraph (4), the words: “control functions” shall be replaced by the following: “internal control functions”.
Article 8
In Article 15, in the introductory sentence of paragraph (1) and in the introductory sentence of paragraph (2), the Montenegrin word translated as “remuneration” shall be replaced by another Montenegrin word with no relevance to the English translation.
Article 9
In Article 16 paragraph (2) item 3), the words: “are not paid” shall be replaced by the following: “are paid”.
Article 10
In Article 18, in the introductory sentence of paragraph (7), the Montenegrin word translated as “remuneration” shall be replaced by another Montenegrin word with no relevance to the English translation.
Article 11
In Article 19 paragraph (2) the words: “and resolution of a credit institution” shall be replaced by a comma and the following: “resolution, bankruptcy, and winding-up of a credit institution, following a change in control over the operations of the credit institution, or for the purpose of completing major projects of the credit institution”. In paragraph (3), the Montenegrin word translated as “remuneration” shall be replaced by another Montenegrin word with no relevance to the English translation.
Article 12
In Article 21 paragraph (2), the Montenegrin word translated as “remuneration” shall be replaced by another Montenegrin word with no relevance to the English translation.

Article 13
In Article 22 paragraph (6), the words: ”control functions” shall be replaced by the following: “internal control functions”.
Article 14
In the heading of Article 23, the words: “control functions” shall be replaced by the following: “internal control functions”. In paragraph (1) the words: “control functions” shall be replaced by the following: “internal control functions”, and after the words: “areas they control” the following shall be added: “and shall not compromise the independence of such employees with regard to the business areas they control”. In the introductory sentence of paragraph (2), the words: “control functions” shall be replaced by the following: “internal control functions”. In paragraph (4) the words: “a person responsible for the operation of a control function” shall be replaced by the following: “the head of the internal control function”. In paragraph (5), the words: “control functions” shall be replaced by the following: “internal control functions”.
Article 15
In the heading of Article 27, the Montenegrin word translated as “remuneration” shall be replaced by another Montenegrin word with no relevance to the English translation. In the introductory sentence of paragraph (2), the Montenegrin word translated as “remuneration” shall be replaced by another Montenegrin word with no relevance to the English translation. In item 9) the words: “within the meaning” shall be replaced by the following: “in accordance with the provisions”. In paragraph (4), after the words: “achievement of objectives” the following shall be added: “of the employee”.
Article 16
In Article 28 paragraph (2) item 4) shall be amended to read:
“4) the employee is the head of an internal control function;”. In item 7) the words: “control functions” shall be replaced by the following:
“internal control functions”.
In paragraph (4) the words: “paragraphs (1) and (2)” shall be replaced by the following: “paragraphs (2) and (3) “.

In paragraph (6) the words: “paragraph (4)” shall be replaced by the following:
“paragraph (5)”.
In paragraph (7) the words: “paragraph (2)” shall be replaced by the following:
“paragraph (3)”.
Article 17
In Article 29 paragraph (2) item 5) shall be amended to read:
“5) results of the re-identification;”.
Article 18
In Article 31 paragraph (1), items 2) and 3) shall be amended to read:
"2) give consent for the exclusion of employees in accordance with Article 30 of this Decision; and
3) continuously monitor the assessment for the identification of employees, and ensure
that the identification process of employees is carried out in accordance with Article 32 of the Decision.”
Article 19
In Article 33 paragraph (3) the words: “for assessing the performance” shall be replaced by the following: “to ensure that all risks, performance and necessary risk adjustments are adequately reflected”. In paragraph (5) items 3), 5) and 6), the words: ”control functions” shall be replaced by the following: “internal control functions”. In paragraph (8) the words: “and if the assessment is also based on subjective elements and the final outcome” shall be replaced by the following: “and where, following the application of subjective elements, the final outcome”.
Article 20
In Article 34 paragraph (1) the words: “The criteria” shall be replaced by the following: “The quantitative criteria”, and the words: “as well as” shall be replaced by the following: “while the qualitative criteria include”.
Article 21
In Article 35 paragraph (4) item 8), the changes have been made in Montenegrin language with no relevance to the English translation.
Article 22
In Article 36 paragraph (1) the Montenegrin words translated as “where quantification of risk exposure is difficult” shall be replaced by other Montenegrin words, with no relevance to the English translation.

Paragraph (3) shall be amended to read:
“(3) Where variable remuneration depends on performance, a credit institution shall base total amount of variable remuneration of employees on a combination of the assessment of the performance of an individual employee, the relevant organisational unit, and the overall results of the credit institution, and when assessing the performance of an individual employee, both quantitative and qualitative criteria shall be taken into account, including the treatment of risks in accordance with Article 55 paragraph (7) and Article 105 of the Law.”.
Article 23
In Article 37 paragraph (5) the Montenegrin words translated as “at a certain level ”, and Montenegrin words translated as: “remuneration” shall be replaced by other Montenegrin words, with no relevance to the English translation, and the words:
“control processes “ shall be replaced by the following “processes and controls”. In paragraph (6), the words: “control functions” shall be replaced by the following: “internal control functions”.
Article 24
In Article 40 paragraph (7) the words: “paragraph (5)” shall be replaced by the following: “paragraph (6)”.
Article 25
In Article 41 paragraph (3), item 2) shall be amended to read:
“2) instruments linked to the ordinary shares of the credit institution;”. In item 4) the words: “which have an embedded clause that limits the maximum allowed value of instruments to their value on the date the remuneration was awarded” shall be deleted.
Article 26
In Article 42 paragraph (2), the Montenegrin word translated as: “and” shall be replaced by other Montenegrin words, with no relevance to the English translation.
Article 27
In Article 45 paragraph (7) item 5), the Montenegrin word translated as:
“aligning” shall be replaced by another Montenegrin word, with no relevance to the English translation.
Article 28
In Article 47 in the introductory sentence of paragraph (1), the Montenegrin word translated as “remuneration” shall be replaced by another Montenegrin word with no relevance to the English translation.

In paragraph (2), before item 1), a new item shall be added, worded as follows:
“1) monitoring the development of the gender-neutral remuneration policy referred to in Article 11 paragraphs (11) and (12) of this Decision;”. In item 5) after the word: “management” a comma and the following shall be added: “including the retention of variable remuneration awarded in instruments in accordance with Article 42 paragraph (2) of this Decision;”. Current items 1) to 5) shall become items 2) to 6).
Article 29
This Decision shall enter into force on the eighth day following that of its publication in the Official Gazette of Montenegro. THE COUNCIL OF THE CENTRAL BANK OF MONTENEGRO CHAIRPERSON GOVERNOR, Irena Radović, m.p. Decision number: 0101-6963-4/2026 Podgorica, 15 September 2026