Montenegro’s Atlas Banka declared insolvent

The Central Bank of Montenegro (CBCG) has declared Montenegrin bank Atlas Banka bankrupt and has started insolvency proceedings.

On April 7, CBCG representatives said that the bankruptcy leaves 90 per cent of Atlas Banka employees out of work, adding that the total deposits in the bank amount to 189 million euros. Individual deposits of up to 50,000 euros – covered by Montenegro’s Deposit Protection Fund – total 89 million euros.

The CBCG placed Atlas Banka under its interim administration in December 2018 after revealing that its capital had not met the minimum risk requirements. Since then, the central bank had tried to find investors to recapitalise the bank, but had failed to do so.

Atlas Banka is the second financial institution in Montenegro to go bust this year after the Central Bank of Montenegro revoked the banking license of Invest Banka in January.

Atlas Banka creditors will now have 30 days to present evidence of their claims against the bank.

Atlas Banka is not, nor has it ever been, affiliated with the Panama-based Atlas Bank.