World Bank confirms North Macedonia’s GDP growth forecast of 3.6% for 2021

The World Bank, in its latest Global Economic Prospects report confirms North Macedonia’s GDP growth forecast of 3.6% for 2021.

The Bank has revised its forecast for the global growth from 4.1 percent to 5.6 percent in 2021, the fastest post-recession recovery in the last 80 years, largely stemming from robust rebounds in a few economies in the aftermath of Covid-19.

Growth in the Western Balkans is expected to rebound to 4.4 percent in 2021. The growth in North Macedonia should be boosted by accelerating structural reforms in preparation for EU membership. The sub region is also expected to benefit from the EU’s recently adopted Economic and Investment Plan, which will mobilize funding to support competitiveness and inclusive growth, as well as the green and digital transition.

Read more: https://www.worldbank.org/en/publication/global-economic-prospects

Government policies focusing on energy, infrastructure and supporting high quality investments crucial for economic growth

Within the Vienna Economic Forum, the Prime Minister, Zoran Zaev adressed that the crucial projects for economic growth are energy, infrastructure, and gasification which are part of the single list of projects adopted by the Government of the Republic of North Macedonia, as priority for the use of the funds provided by the Economic and Investment Plan for the Western Balkans. There are a total of seven applications, two for technical assistance and five for investment grants.

The two technical assistance projects are the gas connection between the Republic of North Macedonia and the Republic of Serbia as well as the implementation of energy efficiency of public institutions. The other five projects have been submitted to use the grants as the priorities of the Economic and Investment Plan for the Western Balkans.

One of the investments is design and construction of wastewater treatment plant in the city of Skopje, worth  71.3 million euros. Furthermore, the construction of part of the railway corridor 8, Kriva Palanka – Deve Bair, the construction of 23.4 km from the third section from Kriva Palanka to the border with Bulgaria and for electrification for the first and second section.

Next is the establishment of an integrated and financially self-sustainable regional waste system for the Polog region, in order to meet the prescribed standards and EU regulations for landfills. The fourth project is for solar photovoltaic Bitola 1 of 20MW, including procurement and installation of additional 10MW intended for Oslomej 2, and the fifth is for procurement and installation of 10MW photovoltaic for Oslomej 1 as a continuation of the efforts for transition of our energy sector to renewable sources of energy “, said Zaev.

For more information visit the following link:vlada.mk/node/25311

Global trade’s recovery from COVID-19 crisis hits record high

Trade in goods during the first quarter of 2021 was higher than the pre-pandemic level, according to UNCTAD’s Global Trade Update released on 19 May.

The report forecasts that trade will continue growing in 2021, with the growth expected to remain strong in the second half of the year.

“Trade growth is expected to remain stronger for East Asia and developed countries, while still lagging for many other countries,” the report says.

The overall forecast for 2021 indicates an increase of about 16% from the lowest point of 2020 (19% for goods and 8% for services).

The value of global trade in goods and services is forecast to reach $6.6 trillion in Q2 2021, equivalent to a year-over-year increase of about 31% relative to the lowest point of 2020 and of about 3% relative to the pre-pandemic levels of 2019.

US Lear and Normak Investment Group announced new investment worth 15 million euros

The Director of the Invest North Macedonia, Dejan Pavleski as part of the government team led by the Prime Minister, Zoran Zaev attended the laying of the cornerstone of the new joint investment of the US company Lear and Normak Investment Group in the technological industrial development zone Tetovo. This is the second investment cycle, which amounts to 15 million euros and will create 1000 to 1200 new jobs.

The Chairman of the Board of Directors of Normak Investment Group also attended the ceremony. Lear Corporation is a leading global supplier of automotive seating and electrical distribution systems. All production is intended for export.

“By November 2021, I expect the second phase to be completed and that will mean new 1,000 to 1,200 jobs. We have inspected the permanent factory; it has state-of-the-art technology for cutting leather and canvas. They create high added value products and improve access to financial capital markets. During the Covid pandemic, the company was fully operational, producing and exporting,” said Prime Minister Zoran Zaev.

Gerresheimer opened a medical glass factory and announced a new investment

The German pharmaceutical company Gerresheimer officially marked the beginning of its investment, a new factory for production of specialized products of medical glass and plastic, located in TIDZ Skopje.

The total investment worth is €25M, and will create 400 new jobs, but also with plans for further expansion.

This is the first factory of the German company in Southeast Europe, and our country has been selected as a favorable business destination in competition with the neighboring countries. Gerresheimer started its first investment cycle in 2019 and is expected to end by 2024.

As a result of the good business climate in the country and the support of the Government, the company Gerresheimer announced a second investment cycle for the production of glass syringes for medical purposes.