Brussels, 10 May 2024
The Commission provided€50 millionin loans to North Macedonia this week. This is the first tranche of the ongoingMacro-Financial Assistance(MFA) operation to the country.
The assistance provides further support to North Macedonia,whose economy has been severely hit by the recent energy crisis, which was triggered by Russia’s full-scale invasion of Ukraine. It will support macro-economic stability and provide for further reforms, in conjunction with the ongoingInternational Monetary Fund (IMF) programme for North Macedonia. Itwill also help North Macedonia advance on its European path.
The release of this support comes after the Commission found that North Macedonia had fulfilled the relevant policy commitments agreed with the EU for the release of the first tranche.North Macedonia achievedprogressin the area ofpublic financeby setting up an independent Fiscal Council and by strengthening public investment management. Toenhance public revenue, North Macedonia adopted tax policy measures which broaden the tax base. The government has also madefurther progress towardsformalising the informal economy, and it has taken measures to improveenergy efficiency. Lastly, the governmentstrengthened the judiciarywith a new Strategy on Judicial Reform.
The overall ongoing Macro-Financial Assistance operation to North Macedonia is worth up to€100 millionin loans.After the disbursement of this first tranche of €50 million, a second tranche of the same amount remains available, depending on progress on the agreed policy conditions.
Background
MFA is part of the EU’s wider engagement with neighbouring countries and is intended as an exceptional EU crisis response instrument. It is available to enlargement and EU neighbourhood countries experiencing severe balance-of-payments problems.
The Commission proposal for this MFA operation to North Macedonia was adopted by the European Parliament and the Council on 12 July 2023. Its implementation is further complemented by EU bilateral cooperation under the Neighbourhood, Development and International Cooperation Instrument-Global Europe.
Overall, since 2020, theEU has paid around €210 million in MFA support for North Macedonia. This includes today’s payment of €50 million.
For more information
- Macro-Financial Assistance to North Macedonia
- Macro-Financial Assistance
- Factsheet on EU-North Macedonia
North Macedonia: Joint Statement by High Representative/Vice-President Josep Borrell and Commissioner Olivér Várhelyi on the second round of the Presidential elections and parliamentary elections
10.05.2024 EEAS Press Team
The second round of presidential and regular parliamentary elections took place in North Macedonia on 8 May. According to the preliminary findings and conclusions by the OSCE Office for Democratic Institutions and Human Rights (ODIHR), they took place in a peaceful and democratic atmosphere. The elections were competitive and fundamental freedoms were respected, although the process remains insufficiently regulated.
The EU congratulates President Siljanovska-Davkova on her election and looks forward to working with the new president, North Macedonia’s first woman Head of State.
We encourage relevant political actors to work to form a parliament and a stable government. Both institutions need to work together to advance North Macedonia’s EU path including by implementing key reforms particularly in the area of the rule of law and the fight against corruption, in the interests of all its citizens.
North Macedonia has made decisive steps in the EU accession process, and it will be important now to implement the outstanding commitments necessary to open the first cluster in the accession process.
The EU and North Macedonia share a strong partnership. The country aligned fully to the EU common foreign and security policy, and we expect our cooperation to continue and further develop.
The EU notes that the joint international election observation mission from the ODIHR and OSCE, the European Parliament and the Parliamentary Assembly of the Council of Europe characterised both elections as competitive and respectful of fundamental freedoms. The election administration organised the elections efficiently. The media environment was generally free.
While the legal election framework laid the basis for democratic elections, some provisions did not comply with international standards, as regards on equal media access, accountability of state funding and access to legal redress. Recent amendments to the Electoral Code were introduced late and did not reflect ODIHR recommendations.
Once the International Election Observation Mission issues its final recommendations for future elections, the European Union expects all political actors, relevant institutions, and stakeholders to demonstrate their commitment to strengthening democracy by working together to implement those recommendations rapidly and well ahead of the next elections.
Source – EEAS