“Montenegrin recovery demands more efficient reforms of the state administration, judiciary and educational institution as well as integration into EU, was estimated yesterday at the tribune of network on NGOs “Akcija held in Cetinje. “it is necessary to reduce number of state administration subjects since there are 15 ministries, three directions, four secretariats, 11 managerial organizations and approximately 4000 employed and it is 12% of budget users. New law on the state administration should regulate intertwining of competencies of its subjects, their efficiency, transparency and economic sustainability”, considers member of ‘Akcij’ Drgan Prlja. He said that initiation of Montenegrin reforms was enabled almost five years ago by foreign help of approximately 500 DM but that reforms were not so successful in the beginning since small number of new laws had been passed and they were almost not at all implemented. According to him, it was also necessary to reform judiciary that is passing of the law on courts and establishing of Center for judiciary since it would help judiciary to be more efficient and less corrupted. Prlja added that legislative reforms should include misuse of police in political purposes and functioning of local self-management. Member of ‘Akcija’ Rade Bojovic estimated that destroyed state and exhausted society an obstacle for Montenegrin reforms that had no more significant improvement during last few years. “After resisting the policy of Slobodan Milosevic Montenegro initiated resolving its state status which is precondition for intensifying reforms. Frame for reforms cannot be set until the state status of Montenegro is resolved”, considers Bojanic. He said that Montenegro has always had Government consisting of politicians and without experts and according to him it postponed initiation of serious reforms. According to him for conducting of real reforms also demands essential reform of educational institutions. Milenko Popovic who is also member of Akcija estimated that the conducted process of Mass voucher Privatization (MVP) did not guarantee quick change of managerial structure in firms, and it was the basic goal of every privatization, since Montenegro did not have enough knowledge and information. Theory according to which it was not important for change of the managerial structure who is to become first owner of the property since capital is quickly reaching those of intelligent and capable people, is based upon the supposition that there is enough knowledge and information, and it is not the case with Montenegro. He said that smallness of property after MVP reduces the interest of stockholders to protect their property and the similar goes also for privatization funds that due to great number of stock holders. “Funds do not have enough stocks in firms they bought so their interests for restructuring and selling at higher prices is also reduced. They only thing that is worthwhile is to go in for speculations, that is for extending of the firm and its sale”, considers Popovic. He estimated that tender and auction privatization in Montenegro were not transparent enough and that part of property that should be returned to former proprietors should have been included in the process of MVP. Popovic said that introduction of the united European currency would not protect Montenegro from possible “shocks” of foreign markets since it shared monetary but not tax policy with the EU.