Independent since 2006, Montenegro is one of only two states (the other is Macedonia) to have separated peacefully from what used to be Yugoslavia. The largely coastal republic has the advantage of a tourism-oriented economy. Its small size (pop: 650,000) means it can be easier to carry out speedy, high-impact reforms. But Montenegro's short history as a democratic country also means that law-based national institutions have had to be built, in some cases, from the ground up. For the EU candidate country to reap the full benefits of the rule of law, the local skills base and judicial capacity need to grow further.