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First theater performances in Montenegro took place on the coast, as early as in the Middle Ages.

In Kotor, as well as in most of European towns of that time, early XV c, in time of holidays, theatre dramas of religious character were presented in  St. Triphon’s Cathedral.

Scena iz predstave "Balkanska carica"Development of theater in a young Montenegrin state is completely King Nicola’s endeavor thanks to his love for drama and its theatrical performance. In Cetinje in November 1883 he founded first “Voluntary Amateur Troup” in Cetinje library. The premier play they performed in 1884 was king Nikola’s "Balkan Empress ". First theatre building in young Montenegrin state is "Zetski dom" and it was finished in 1896 in Cetinje. Early XX c. there were 11 theatre troupes in Montenegro. “Voluntary Amateur Troup” from Cetinje became state institution - “Principal Montenegrin National Theatre”, and its troupe included actors from Belgrade and Zagreb.

After the Second World War theatre continued its development. In Cetinje, theatre Zetski dom continues with performances, and theaters are opened in Kotor, Niksic, Pljevlja, Podgorica and  Berane. In 1955 there were 5 theaters in Montenegro and 19 small troupes.

Today in Montenegro there are two professional theatre troupes – Montenegrin National Theatre and Podgorica City Theatre, as well as several amateur theatre troupes from which the most important one “Dodest" from  Podgorica.

In the summer, squares and fortresses in old Montenegrin coastal towns become stages under open sky where during summer several festivals are organized with high level theatre production: Town Theatre in Budva, Cultural Center from Tivat, Bar Chronicle in Bar and the Festival of Children Theatre in Kotor.