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The project implemented with the support of UNIDO, aims to reduce regional economic and social disparities through the improvement and creation of livelihood and employment opportunities in the Northern region of Montenegro. The project aims to promote social and environmental sustainability and raise awareness about the importance of sustainable development among rural enterprise linked as well as support local institutions, government and other stakeholders. Activities are focused on analyses analysis of current situation and concentration assessment of MSMEs in areas such as organic food production, wood processing, horticulture, fisheries, textiles, leather etc, as well as analysis of the main capabilities and services that are offered by relevant public and private sector business support and advisory institutions. The outputs of the project would be concentration assessment of SMEs, database of SMEs, diagnostic study on 3 potential clusters and comprehensive reports on the cluster development.