Public Accountants Certification Training in Montenegro

PUBLIC ACCOUNTANTS
CERTIFICATION TRAINING
IN MONTENEGRO
A SUCCESS STORY OF TRAINING AND LOCALIZATION

STRONG COOPERATION
WITH LOCAL INSTITUTIONS
public accountants. Numerous applications for the training
course in 2016 showed that the interest of accountants
exceeded the training capacity. After the completion of
the first year of training, it was continued for the second
generation of accountants in 2017 and for the third
generation in 2018.
Quality accounting information is crucial for
public finance management (PFM). Bearing
in mind that accrual accounting increases the
comprehensiveness and quality of accounting information,
and with the intention to converge towards the principles
of accrual accounting, in 2015 the Government of Montenegro
adopted the Strategy for Transition to Accrual-Based
Public Accounting.
With the adoption of the Strategy, it became apparent
that training public accountants is one of the pillars of the
accounting reform. In the same year, the Ministry of Finance
started the Public Accountants Certification Training (PACT),
recognizing the Centre for Excellence in Finance (CEF) as
a strong partner in developing capacities in accounting.
Applying the methodology of the Chartered Institute of
Public Finance and Accountancy (CIPFA) from the UK, it
was clear from the outset that all the preconditions for the
success of this project had been created.
In an effort to preserve the sustainability of the project, the
Ministry of Finance, together with the CEF and the Human
Resources Management Authority (HRMA), immediately
started to work on localizing the training program, so that
after providing international support, the project would
become a national training and certification program for
To promote the accounting reform in the public sector,
in 2018 the Ministry of Finance and the CEF organized
regional conference Transition to Accrual Accounting.
Prominent experts from the country and abroad attended
the conference. In the same year, the Ministry of Finance
started to develop the Law on Public Sector Accounting.
The goal was to integrate the reform efforts of the
Government of Montenegro in this area and create the
basis for the implementation of accrual-based accounting
in the public sector.
In parallel to the training of the third generation of
accountants, one of the most relevant laws in the area
of public finances has been under preparation, which will
bring accountants numerous novelties and challenges in
their work. In order to be well prepared, two workshops
were organized within the PACT project that addressed
international accounting standards that the Ministry of
Finance thought would be the most challenging to apply.
In November 2019, the Law on Public Sector Accounting
was adopted and the training of the third generation of
certified accountants was successfully completed. The
international certification training may have come to an
end but at the same time this is a new beginning for the
start of local training and implementation of the public
sector accounting reform.
MARIJA ULJAREVIĆ
Head of the Division for Budgetary Accounting and Reporting
Ministry of Finance, Montenegro
2 3

The HRMA, in cooperation with
colleagues from the Ministry of
Finance and the CEF, has been
involved in the coordination of
the PACT program. It has assisted in the
implementation of activities for accountants
who have received a certificate, and has
greatly contributed so that the whole team
has functioned in an un-interrupted cycle.
We value the know-how obtained through the
involvement of local coordinators, exchange
of experience of all program contributors,
and successful implementation and viability
of the project. It will be used by the HRMA in
the implementation of other programs in the
future.
The role of the local coordinator
has given me a rich five-year experience,
new knowledge and skills.
It also brought successful collaboration
with colleagues from the CEF and the
Minis try of Finance, building a good organizational
climate through developing team spirit.
The rights and responsibilities of the local coordinator
and the challenges experienced during
the training have contributed to strengthening
and developing professional capacities, which
in the coming period will affect performance,
personal development, further career development
and advancement in public administration.
The gained practice, knowledge and
experience will certainly be used also in the implementation
of new programs by the HRMA.
JADRANKA ĐURKOVIĆ
Deputy Director
Human Resources Management Authority
(HRMA), Montenegro
TIJANA VAKIREVIĆ
Local Coordinator
Human Resources Management Authority
(HRMA), Montenegro
4 5

THE JOURNEY
OF LOCALIZATION
Sharing its experience in becoming a regional knowledge
hub, the CEF supports constituent institutions in developing
their organizational knowledge sharing capacity and strategic
human resources development.
Sustainability of the certification training is crucial for the
successful implementation of PFM reforms, so the Ministry
of Finance of Montenegro committed to develop systems and
processes and ensure resources and infrastructure to fully run
the program locally, on their own.
One of these resources was the Localization Working Group,
composed of experts in accounting, representatives of the
Ministry, the takeover institution - HRMA, and the CEF. The
main goal of the localization process has been to enable the
environment for full localization: adjusting local legislation,
strengthening the relationship between the Ministry and the
takeover institution, and preparing the takeover institution for
independent work.
After analyzing the training needs, deciding among the options
for localization, making legislative changes to support local
recognition of the PACT certificate, drafting a manual for
implementation, and establishing a group of trained tutors,
the grounds for the delivery of localized training are ready.
ILUSTRATION: FEDERICA TABONE
ANA FRANGEŽ KERŠEVAN
Localization Working
Group Member
Senior Partnership Officer
Center of Excellence
in Finance (CEF)
6 7

Strategy for Public Sector
Transition to Accrual
Accounting
Action plan
for implementation
of the Strategy
Adoption of the Law
on Accounting
in Public Sector
Law on Accounting
in Public Sector
comes into effect
Mar
2015
Mar
2018
Nov
2019
Jan
2022
Preparation of
PACT training
Apr
2016
Jan
2017
Sep
2018
Launch of
training
(1 st generation)
Launch of
training
(2 nd generation)
Launch of
training
(3 rd generation)
Jan
2018
Oct
2019
Feb
2020
Dec
2016
Regional
conference
Transition to
Accrual
Accounting
Sep
2018
IPSAS
training
Oct
2019
IPSAS
training
Graduation of
1 st generation
Graduation of
2 nd generation
Graduation of
3 rd generation
Mar
2018
Jun
2020
Drafting Law on Accounting in Public Sector and its by-laws
Localization process: Throughout the implementation of three generations of certification, the localization process was running in parallel.
It included: analysis of professional capacity and training needs; translation of the study materials of international modules into the local
language; training of local tutors; facilitation of training on National Legislation and Taxation; transfer of knowledge and skills; coaching
of local institutions’ representatives; setting the legal framework; and drafting a manual for the independent running of localized training.
8 9

VALUABLE SUPPORT
OF LOCAL EXPERTS
These five years of training public
accountants in Montenegro within
the PACT project were an exciting
challenge for me as a lecturer and
professor, mostly in didactic sense. Through
interactive teaching and use of various modern
methods, the training students were assisted
to have a correct understanding of the
subject matter and the implementation of
IPSAS in accounting.
Bearing in mind the differences in the competences
and skills of each individual, the teaching
methods were selected carefully in order to
offer them adequate training, with the objective
that every student is trained for the challenges
that modern public accounting is facing. This
approach to training helped ensure their successful
completion of the training course.
VLADAN MARTIĆ
Senior Tutor for Management Accounting
Docent
Mediterranean University, Montenegro
As a junior tutor, I had the pleasure of being part
of a team of colleagues who worked with the
PACT program. Although I have been professor
of accounting at the Faculty of Economics in
Montenegro for more than twenty years, I am pleased to
admit that the experience I gained during my preparation
to become a lecturer in the PACT program and during my
performance, was of invaluable importance for upgrading my
existing knowledge and gaining new, innovative, theoretical,
practical and pedagogical knowledge and competences.
I especially liked a different approach to problem solving
that required innovative and comprehensive incentives and
transfer of knowledge, which are focused on the concrete
and more practical dimension of the problem. I will use this
experience and new pedagogical approach at my lectures
to encourage students to think differently when solving
problems.
ANA LALEVIĆ FILIPOVIĆ
Junior Tutor for Management Accounting
and Financial Accounting
Full-Time Professor
University of Montenegro, Faculty of Economics, Montenegro
10 11

The PACT learning activities in Montenegro
from 2015 until today have made a large
contribution to the country, not only by
segments, but holistically. As a senior tutor
in the Financial Accounting module, I have had the
pleasure to be part of the PACT program.
First of all, it is a good opportunity for the public
sector in Montenegro to have lectures in accounting
on accrual basis, taking note of the International
Accounting Standards. I highlight this because our
public accounting system is cash basis accounting, and
international certification is a very important factor for
improving this segment of the public sector.
The books and other teaching materials, such as examination
guidelines and grading methodology, are provided
by CIPFA and contribute additional value to this project.
We have very strong and clear procedures in place for
the teaching methodology, exams and grading. This is a
new and important professional experience, as all of us
can improve our daily work based on this methodology.
This educational process helps public sector accountants
to improve their perception of the importance of
accounting information at all management levels, especially
for people that make economic, political and
management decisions.
To summarize this success story, all the above
aspects, which are very positive and important for
the whole training process, were at the same time
a huge challenge for me as a tutor. It took a lot of
hard work to create a new educational environment
for public sector accountants, implement all the
training activities successfully, and help candidates
understand the importance of continuing education
in the accounting area.
Last but not least, I had great pleasure working with
colleagues from the Ministry of Finance, the CEF and
CIPFA, and the HRMA. I hope that projects like these
will remain our practice also in the future.
MILICA DAKOVIĆ TADIĆ
Senior Tutor for Financial Accounting
Assistant Professor
Faculty for International Economy, Finance and
Business, University Donja Gorica, Montenegro
My participation in the PACT program was a positive and useful
experience: first as a student in the second generation of the
training and later as a junior tutor in the third one. I enjoyed
working in a friendly atmosphere, being engaged in a quality
program with high professional standards and working closely with lecturers
who showed a great deal of competency, dedication and attentiveness.
The program encompassed three important aspects of accounting and financial
affairs: the legislation valid in Montenegro; the international aspect
of accrual financial accounting with reporting; and management accounting.
We learnt how the principles of management accounting can be applied
in everyday work when reporting on different levels of managerial structure,
and making different analyses important for decision-making in our institutions.
In addition, we had training in IPSAS, which will enable easier transformation
of the existing cash-based accounting systems to accrual-based
accounting. I believe that we, PACT students, adopted the principles of dual
accounting to a sufficient extent so that we can be the holders of these
changes in our institutions. The program is challenging and the exams are
designed to test not only knowledge but also the speed of problem solving.
A particularly interesting and pleasant experience for me personally was my
role of a lecturer – junior tutor. I benefited a lot from the Training of Trainers,
which helped me prepare for my new role. It was organized as a creative and
fun workshop, useful not only for the needs of teaching and educating, but
contributing also to other spheres of life and work.
I believe that the PACT program is the right step toward building and
upgrading the knowledge and skills that are needed for the transition to
accrual-based accounting system in line with IPSAS. It has significantly
improved my professional and personal capabilities.
IVANA ĆETKOVIĆ
PACT Student and Junior Tutor for Management Accounting
Accountant
Private Accounting Agency, Montenegro
Joining the PACT program, first as a
student of the second generation
and later as a junior tutor of the third
one, offered me a chance to take
part in many interesting events and activities. It
gave me an opportunity to observe accountancy
from a different angle and to learn from welldesigned
study materials as well as excellent and
comprehensive presentations made by local and
international tutors.
My biggest challenge as a tutor was how to pass
on the knowledge in the most appropriate and
useful way and how to get students interested in
the lectures. Students, experienced accountants,
may often get into the trap that the topics are
familiar and expect that exams would be easy to
pass with no or just a little effort. It is the tutor’s
duty to convince them of the opposite and make
them understand that without hard work, learning
and attending classes, it is not possible to obtain
an internationally recognized certificate.
It was not an easy path, being a student and
becoming a junior tutor, but it turned out to be
a successful journey with lots of benefits. It is
difficult to choose one, but I would expose better
understanding of IPSAS.
SRĐANA MILIĆEVIĆ
PACT Student and Junior Tutor
for Management Accounting
Head of Treasury and Accounting Sector
Finance Secretariat, Budva Municipality,
Montenegro
12 13

Being students in the first generation of the training, becoming junior tutors in
the second one and upgrading to the senior level in the third generation, we
understood that the PACT program is extremely important for the entire public
sector of Montenegro. The main advantage of this program is the knowledge
it offers, improving accountants’ everyday work process in general.
Not all public sector accountants had the opportunity to take part in the PACT training –
we were lucky. We strongly believe that it is necessary to continue with the PACT program
and involve all public sector accountants in the training. Moreover, we believe that Montenegro
needs to introduce also the diploma level of PACT program to upgrade the knowledge
needed for decision-making. Only skilled and qualified accountants can provide a
solid basis for managing public finances in the best possible way.
IVAN ZVICER
PACT Student and Tutor
for Financial Accounting
Accountant
Ministry of Education,
Montenegro
BOJANA JOVETIĆ
PACT Student and Tutor
for Financial Accounting
Head of Department for General
Affairs and Finance
Ministry of Public Administration,
Montenegro
14 15

PARTNERSHIPS
IN PACT PROJECTS
The Ministry of Finance of Slovakia has
been offering technical assistance to
the Ministry of Finance of Montenegro
through the Public Finance for Development
Programme and in cooperation with the UNDP
since 2010. It has provided policy, methodological,
legal and capacity support for gradual transition to
accrual accounting reporting under IPSAS.
As a result of Slovakia’s contribution and Montenegro’s
perseverance, the conditions for the PFM reform
have improved and progress has been made,
notably the adoption of the Strategy for the Transition
to Accrual Accounting in 2015 and the Public
Sector Accounting Law in 2019. The new legislative
framework will allow for generating and providing reliable
and accurate data for decision-making at the
national level, and increase transparency of public
finance and accountability of the government both
to internal and external users.
To secure faster progress in public sector accounting
and reporting, the Slovak Ministry of Finance has
decided to broaden its efforts and fund a complementary
capacity development initiative – the PACT
program. This training program has been running
simultaneously with the technical assistance to the
Ministry of Finance of Montenegro as the leader of
the transition process. The target beneficiaries are
public accountants who are expected to transform
new accounting and reporting policies into their daily
practice as the changes become effective.
To prevent inconsistencies and secure quality performance
in this field, the project’s aspirations
were set beyond the training itself and introduced
a sustainable education framework of public sector
accountants in Montenegro, to be managed by
respective Montenegrin authorities. Taking into account
that before 2015 there was no training in this
area available, ongoing work on localization of the
program seems to bring about a great impact on the
effective implementation of accounting policies.
MARIANNA MACÁŠKOVÁ
International Relations Specialist
Ministry of Finance, Slovakia
16 17

Slovenia has supported
the delivery of the
PACT training program
in Montenegro as part
of its efforts to encourage the development
of effective, responsible
and transparent institutions at all
levels in partner countries of our
development cooperation.
Montenegro is a priority country of
Slovenia’s development cooperation,
which upgrades the excellent
political and economic relations as
well as other forms of cooperation
between the two countries. We believe
that our multiannual support
to the program has helped to provide
sufficient capacity to facilitate
further successful development of
public accounting in Montenegro.
ANITA PIPAN
Ambassador, Acting Director-
General for Multilateral Affairs,
Development Cooperation and
International Law
Ministry of Foreign Affairs,
Slovenia
Effective and responsible financial
management within
the public sector contributes
to good governance by
emphasizing accountability, transparency,
and support for the rule of law.
Perhaps even more importantly, public
sector accounting plays a large role in
maintaining the Montenegrin people’s
confidence in the institutions that impact
their everyday lives. Strengthening
financial management institutions and
improving public accounting standards
also help fulfill several requirements
in the EU accession process and facilitate
Montenegro’s integration into
Euro-Atlantic institutions and financial
markets.
We are therefore proud that the United
States government, through the Emerging
Donors Challenge Fund, was able to
support the delivery of this training program,
together with other partner countries.
The United States will continue to
support valuable capacity development
programs, such as this training, as well
as other efforts to help Montenegro’s integration
into Euro-Atlantic institutions.
DRAGANA TATIĆ
Political Officer
Embassy of the United States of
America, Montenegro
The CIPFA is honored
to support the PACT
program, delivered
in Montenegro for
three generations of public sector
accountants. We commend
the PACT training program which
is a key part of the Montenegrin
government’s efforts to build and
strengthen professional qualifications
for accountants. Jointly with
the CEF we provide a great opportunity
for training and skills development
for public sector finance
staff, meeting the needs of government
to ensure they have the skills
to respond to their PFM challenges
and reforms. We are delighted to
collaborate with the CEF to deliver
excellence in IPSAS qualifications,
as well as awarding our certificates
to successful candidates.
KHALID HAMID
Divisional Director, International
Chartered Institute of Public
Finance & Accountancy (CIPFA)
Countries must have capacity to take
active roles in setting up and implementing
their demanding PFM reform
agendas.
The CEF staff and I feel honored to be entrusted
with a task to develop, design, and facilitate the
implementation of the certification program for
public sector accountants. The program directly
responds to the capacity development needs of
individuals, teams and institutions in a country.
Thus far 428 students have graduated from
the PACT program at a certificate level and 292
students at a diploma level in eight countries.
Equally important, the program pays a lot of
attention to three additional areas. First, it makes
sure that national tutors are trained in the subject
matter and methodology. Thus far a sufficient pool
of local tutors in Montenegro have been trained
and many of them have become the driving forces
for the public sector accounting profession in
Montenegro. Second, the program makes sure that
the certification training is anchored in national
legislation. Third, it helps identify national training
institutions and develop their capacity to take over
and independently run the program.
Our motivation and work have been based on strong
ownership by the Ministry of Finance of Montenegro
as well as partnerships with donors and partners.
JANA REPANŠEK
Director
Center of Excellence in Finance (CEF)
Our training and localization journey in Montenegro has
come to a point where we will take a break and celebrate
what we have achieved so far. And we have achieved
great things together! Congratulations to all Montenegrin
accountants who have successfully finished the training.
When coming to Montenegro in 2015 as a manager of PACT projects, I
faced a new country and new mentality, and many times I found myself
in a new role. There were challenges that no one could predict, and no
one prepares you how to overcome them. It is a creative and innovative
process that requires team work and persistence.
Especially at the beginning but also throughout the project, a lot of
effort was invested in building the network of partners, gaining their
trust and convincing them to take new approaches and open up for
new opportunities. And it paid off. Gradually we became a team of
collaborators, motivated to seek how this training program could
support the simultaneously evolving accounting reform in the best
possible way. Jointly we attracted lots of renowned international
experts and consultants who brought a wider perspective of the
accounting reform and gave us valuable recommendations for
successful transition toward accrual accounting.
Working with all these people, who were highly motivated and devoted
to help improve the accounting system, has been a truly rewarding
experience. I am proud that I had the opportunity to take part in this
journey and to witness the achievements in the process of improving
the accounting and financial reporting system in Montenegro. I wish
you a successful continuation of the training and implementation of
the accounting reform.
JASMINA POPOVIĆ
Project Manager of PACT in Montenegro
Program Officer
Center of Excellence in Finance (CEF)
18 19

PACT TUTORS
NATIONAL
LEGISLATION
AND
TAXATION
FINANCIAL
ACCOUNTING
MANAGEMENT
ACCOUNTING
MARIJA POPOVIĆ
STOJA ROĆENOVIĆ
MILOŠ BALETIĆ
JELENA MIRKOVIĆ
CMILJANA ĆETKOVIĆ
TATJANA BOŠKOVIĆ
MILICA DAKOVIĆ TADIĆ
MLADEN VLAHOVIĆ
ENESA BEKTEŠI
IVAN ZVICER
BOJANA JOVETIĆ
ANA LALEVIĆ FILIPOVIĆ
RAJKA TOMOVIĆ
IGOR PAVIĆEVIĆ
VLADAN MARTIĆ
MLADEN VLAHOVIĆ
ANA LALEVIĆ FILIPOVIĆ
SRĐANA MILIĆEVIĆ
IVANA ĆETKOVIĆ
IRENA JANKOVIĆ
20 21

GENERATIONS & DONORS
PACT
CERTIFIED
ACCOUNTANTS
PROJECT
DONORS
FIRST
GENERATION
2015/2016
23
Ministry of Finance, Slovakia
through UNDP Partnership for Results in
the International Development Cooperation,
Public Finance for Development Program
SECOND
GENERATION
2017/2018
24
Embassy of the United States of America,
Montenegro
through the US Emerging Donor Challenge Fund
Ministry of Foreign Affairs, Slovenia
through Slovenian Development Cooperation
THIRD
GENERATION
2018/2020
28
Ministry of Finance, Slovakia
Ministry of Foreign Affairs, Slovenia
through Slovenian Development Cooperation
75
IN TOTAL
The CEF and The Ministry of Finance
of Montenegro supported all PACT projects
through in-kind contributions.
Statements expressed in this publication do not necessarily reflect the views of the CEF, the institutions and governments of countries represented.
22 23

CEF at a Glance
OUR MISSION
We support capacity development for finance officials in South East
Europe through learning.
OUR WORK
We work with our constituency by directly contributing to the design and
implementation of their public financial management, tax policy and
administration, and central banking reform efforts. We do this through
innovative, participatory, and practical learning solutions. The CEF
serves as a knowledge hub for the region: we combine topical expertise
and in-depth knowledge of countries in the region with a good grasp of
leadership skills required to manage reforms. We know how to nurture
and deepen learning among individuals and institutions.
OUR HISTORY
We were established in 2001 under the Stability Pact for South East
Europe by the Slovenian Government, at the initiative of the Slovenian
Ministry of Finance and in close cooperation with other ministries of
finance of former Yugoslav countries and Albania. In 2015, the CEF
became an international organization after 14 very successful years as
a regional institution.
OUR CONSTITUENCY
We primarily serve ministries of finance, tax administrations, and central
banks in Albania, Bosnia and Herzegovina, Bulgaria, Croatia, Kosovo,
Moldova, Montenegro, North Macedonia, Romania, Serbia, Slovenia,
and Turkey. We also address capacity development needs of other key
stakeholders and are present in some other countries.
Cankarjeva 18
1000 Ljubljana
Slovenia
+386 1 369 6190
info@cef-see.org
www.cef-see.org
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Published by: Center of Excellence in Finance (CEF) • Photo: CEF Archive. The photos have been taken at actual CEF events. • Design: Sonja Eržen • Print: Tiskarna Januš, d. o. o.