2 Perpera – Montenegro

In 1914, Montenegro, a small and mountainous Balkan kingdom, did not issue its own independent national currency. Its monetary system was a complex and practical reflection of its geopolitical position and economic ties. The country was deeply integrated into the wider regional economy, and as a result, a variety of foreign currencies circulated freely and were accepted for daily transactions. This situation was typical for many smaller states in the region at the time.

The most dominant currency in circulation was the Austro-Hungarian krone (or crown), reflecting the economic hegemony of the Habsburg Empire in the western Balkans. Alongside it, the Turkish lira (Ottoman currency), the French franc, the Italian lira, and the Russian ruble were also commonly used. This multi-currency environment was facilitated by Montenegro's reliance on trade, remittances from emigrants working abroad, and foreign subsidies, particularly from Russia, which was Montenegro's key patron and ally.

This dependence on foreign coinage underscored Montenegro's limited economic sovereignty as it entered World War I in August 1914. The nation's immediate alignment with the Allied Powers (specifically Serbia and Russia) against the Central Powers would soon disrupt the flow of the Austro-Hungarian krone, creating practical economic difficulties. The war would ultimately lead to a more formalized monetary system under Serbian, and later Yugoslav, authority following Montenegro's absorption into the new Kingdom of Serbs, Croats, and Slovenes in 1918.