The European Commission projects in its Autumn 2021 Economic Forecast, that Macedonian economy growth will be 4% in 2021 and 3.9% in 2022.
“North Macedonia’s economic recovery is making good progress, as both, domestic and foreign demand are strengthening. The upswing is expected to gradually solidify in 2022 and 2023, based on a further firming of private consumption and foreign demand,” according to the European Commission 2021 Economic Forecast report.
“Real GDP growth is projected to average 3.9% in the period 2021 to 2023. The recovery in public finances is likely to be more protracted than anticipated earlier. Financing needs for the government’s ambitious new public investment plans, and continued implementation of anti-crisis measures are likely to entail sustained high fiscal deficit levels,” the Commission said in the Report.
Director Dejan Pavleski at today’s press conference informed about on of the biggest and most valuable projects planned by Invest North Macedonia. This project has been worked on for a long time together with Daniele Costantini, worldwide ski resorts designer from Italy.
In the past 6 months we have made comprehensive analysis of the potential of our country for development of all season tourism, whit a special focus on winter sports, so we can proudly present it to the public. Our country has a potential for building World Class All Season Resorts & Ski Centers on Jablanica near Struga and Vevchani, Bushova planina near Krushevo and Makedonski Brod and Karadzica in Sopishte and Studenichani.This are locations that have an excellent natural prepositions and adequate infrastructure.
The development of this project will promote the country as a top ski destination with competitive prices on the ski market, compared to the region and international competitors. It is a project that has the main goal to stimulate and give a strong impetus to the development of domestic tourism and whole economy.
These new tourist centers can be used by visitors throughout the year, not just in the winter. Preliminary estimates are that this project will cost between 700 and 800 million euros, involves the construction of three new tourist villages at these three locations which will include16 four and five star hotels, restaurants and about 130 mountain houses with a capacity of over 5000 beds, cable cars, ski-lifts, over 180 km alpine ski trails, cycling and adventure trails, said Pavleski.
In the next few months, we will present them at the world event EXPO 2020 Dubai, and we already made preliminary contacts that will soon result with direct presentation. I believe in success of this project, because all its aspects of utilizing the natural potential and the appropriate infrastructure are met.
The dominant exposure to the east, the presence of water and high altitudes, the presence of snow cover between 1200 and 2200 meters during nearly 140 days a year, as well as easy accessibility and the two international airports in close proximity are a huge advantage and difficult are all together in one place in most current tourist destinations in Europe and beyond, said Pavleski.
Director Dejan Pavleski as part of the economic team of the Government attended the press conference at which the Prime Minister Zoran Zaev and the Minister of Finance Fatmir Besimi presented the Plan for Accelerated Economic Growth for the period 2022-2026 adopted by the Government.
The Prime Minister of the Republic of North Macedonia, Zoran Zaev and the Minister of Finance Fatmir Besimi today presented the Plan for Accelerated Economic Growth 2022-2026, which the Government adopted today.
“The key goal is to create new jobs and stimulate the growth of the economy in our country, with new investments, 5% Gross Domestic Product growth and maintaining a stable public debt. The plan is inclusive and in-depth developed in communication with international financial institutions, partners, chambers, experts.
The accelerated growth plan has three main objectives:
1. The first goal is increased investment in the public and private sectors. Public investments in the amount of 4 billion euros are envisaged in the next five years and mobilization of additional 8 billion euros of investments from the private sector.
2. The second goal is accelerated growth, i.e. increasing the average economic growth rate from 2.5%, which was in the past 10 years to 5% average per year in the next 5 years as a target that we want to achieve.
3. The third goal is to ensure fiscal consolidation, i.e. reduction of the budget deficit and public debt.
Regarding the first goal, the plan offers an innovative approach to equity financing to accelerate economic growth, an approach that works successfully in the European Union. In addition to the planned public investments in the amount of 4 billion euros for the period 2022-2026, financed by the budget, IPA funds and international financial institutions, more funds and investments will be mobilized by the private sector.
The accelerated economic growth plan will support investment projects in the public and private sectors, which will mean improving the competitiveness of the economy and improving the quality of life, and will be concentrated in several priority areas such as green economy, digitalization, innovation and technological development, development of physical infrastructure and human capital, as well as social cohesion.
International development partners will help with financial support and technical assistance for overall successful implementation. In that regard, the Plan is complementary and harmonized with the other strategic documents of the Government, as well as with the Budget for 2022, which is in the final stage of preparation.
What I want to mention is that the capital investments, necessary for the economic development, are of special importance, and which are realized in conditions of continuous pandemic, ie they did not stop. For that purpose, the CAPEF mechanism is in function, which envisages rewarding the budget users with a high degree of execution of the capital expenditures. It is estimated that it can generate an additional 1.5 billion euros in capital expenditures in the period 2022-2026.
The realization of capital investments amounted to 14.2 billion denars from the start of the year until October 22, which is 57.4 percent higher than the same period last year.
The second goal of the Plan for accelerated economic growth is to increase the average economic growth rate from the average in the past 10 years from 2.5% to 5% average per year in the next 5 years.
This goal is already beginning to be realized, and the very growth of the Gross Domestic Product of 5.6 percent in the first half of this year, ie 13.1 percent only in the second quarter of this year is a confirmation that the economy is returning to the paths of rapid growth. .
Recently, the World Bank increased the forecast for GDP growth in North Macedonia in 2021, from 3.6 to 4.6 percent, which exceeds even our estimates for growth of 4.1 percent.
The activity of the private sector will increase, through the introduction of new ways of access to capital, instruments, funds and sources of financing, which mobilize several times more funds and investments from the private sector. This will increase the total investments, accelerate the growth of the gross domestic product and will accelerate the creation of new jobs.
Unemployment is now at 15.9%, which is the lowest level in recent Macedonian history.
According to the Plan, with the growth of investments, the employment rate is projected to increase to 54.3% in 2026, and the unemployment rate to enter the single-digit zone for the first time by 2026 of 8.6%.
The third goal is to ensure fiscal consolidation, ie reduction of the budget deficit and public debt.
Favorable macroeconomic developments will improve public finances, leading to fiscal sustainability, by reducing public and publicly guaranteed debt below 60% of GDP in 2026.
This plan will strengthen the conclusion that North Macedonia is a country with predictable conditions and climate for investors, because it contains the basic aspects that are of primary importance for domestic and foreign investors “said at today’s press conference the Prime Minister, Zoran Zaev.
Visitors to one of the leading fairs for safety and health at work from today to October 29 will have the opportunity to visit the national stand under the brand Invest North Macedonia.
The exhibition space of 54m2, provided by the Agency, presents domestic products of six Macedonian textile companies at the 38th A + A SAFETY AND HEALTH EXPO held in Dusseldorf, Germany.
The companies Zlatex, Eurosolid and Textile Solution from Skopje, Albatros and Lars from Stip and the Ohrid company Evro Jeans have been selected on a public call, with pre-determined criteria for participation and selection.
The first day of the fair passes with a visit of a large number of interested buyers and successful meetings have been held from which future cooperation is expected. Representatives of domestic companies are pleased with the attendance at the national stand and it can be concluded that the interest of foreign buyers is turned to European manufacturers, due to improving the competitive position of Macedonian manufacturers in relation to Asia.
A + A visitors have the opportunity to see the future of occupational safety and gain full insight into new industry trends.
The participation in the fair is organized by Invest North Macedonia and supported by SIPPO – Swiss Program for Export Support and the Textile Trade Association – Textile Cluster.
The A + A fair is expected to be visited by 73,507 visitors, this year it has 2,121 exhibitors, 49% of which are from Germany, and the remaining 51% are from other countries, including companies outside Europe. According to the estimates of the organizers, 71% of the visitors have the greatest interest in personal protective clothing and equipment.
At the world’s largest event for safety and health at work, the “A + A” Fair six domestic companies in the textile industry to deepen their export activities will be supported by Invest North Macedonia.
At the 54m2 national stand under the Invest Invest Macedonia brand 6 domestic companies will present themselves at the 38th A + A SAFETY AND HEALTH EXPO held in Dusseldorf, Germany.
“Due to the pandemic Invest North Macedonia is fully focused on supporting Macedonian companies to increase their investments in order to increase competitiveness, and thus to preserve and increase their exports.
The textile sector has 36,000 employees which make up ¼ of all employees in production and participates in the total GDP with 2.4%. Given that most of the production is focused on the loan system, the potential for development of this sector is really great.
The companies that will take part in the national stand are: Zlatex, Eurosolid and Textile Solution from Skopje , Albatros and Lars from Stip and the Ohrid company Euro Jeans.
This is a great opportunity for these six textile companies to present their products to thousands of companies and visitors, which would deepen their export values in the German market and beyond, and thus increase the orders and production of these and other textile companies in our country.
On this occasion I would like to thank you for the selfless support and cooperation of the Swiss Program for Export Support (SIPPO) which is our longtime partner in the development of our services in export promotion, as well as Trade Textile Association – Textile Cluster, without whose help this event would not have been possible “said at today’s press conference the director of the Agency Dejan Pavleski.
A + A SAFETY AND HEALTH EXPO ”has 10 exhibition centers covering an area of 78,000 square meters. 2121 companies from 63 countries and more than 73,000 professional visitors are participating in this exhibition.
Invest North Macedonia won second place in the international competition for the best companies and organizations around the world Go Global Awards 2021 organized by the International Trade Council (International Trade Council) based in Washington, USA.
At yesterday’s ceremony, which was attended by companies and organizations, the Agency was awarded for the first time an award in the category “Export Promotion”.
The recognition for the success in the work of Invest North Macedonia was given to the director Dejan Pavleski, who invited the attendees of the ceremony to consider the opportunities and benefits offered by the Government of the Republic of North Macedonia for potential investors and to increase trade.
In the category of the best manager, the award was given to Mevludin Ibish, manager of the Macedonian company Dauti Komerc, one of the 10 domestic companies that submitted applications in several categories at this year’s world business event.
Director Dejan Pavleski was one of 15 judges who last month selected applications from 780 of the 4,372 registered companies from 176 countries at the Go Global Awards 2021.
After previously participating in the international conference The Think Global Conference in April this year, where the Director Pavleski presented on the country’s investment and export potential, Invest North Macedonia was a part of the awarding of prestigious awards to companies at the international level for the first time.
