Today, funds in the amount of EUR 20.5 million as loan from the World Bank and EUR 7 million as grant from the Kingdom of the Netherlands were awarded to Macedonia with the signing of Loan Agreement for the First Programmatic Development Policy Loan and Grant Agreement.
 
Both Agreements were signed by Vice Prime Minister and Minister of Finance, Mr. Zoran Stavreski, World Bank resident representative Mr. Marcus Repnik, and Ambassador of the Kingdom of the Netherlands to Macedonia, Ms. Simone Filippini.
 
Loan and Grant funds are intended for budget support and are awarded as a result of realizing the envisaged Government policy reforms. The Loan supports reforms in the process of public expenditures management, reforms in the social policy system, as well as strengthening financial sector stability.
 
World Bank loan was awarded under the following conditions: 25 year maturity, 8-year grace period and six month LIBOR (for Euro) plus variable spread.
 
– Today’s signing of the Loan Agreement with the World Bank in the amount of EUR 20.5 million as budget support, and Grant Agreement in the amount of EUR 7 million speaks, once again, in favour of the excellent cooperation we have and the quality of Government policies pursued to the end of improving the living conditions, Vice Prime Minister Stavreski said, after signing the Agreements.
 
He also said that the Government would continue implementing the reforms in future, expressing hope that such reforms would be completed in a quality manner.
World Bank resident representative, Mr. Marcus Repnik, pointed out that both the Loan and the Grant provided budget support to help weather the impact of the global economic crisis.
 
– Going forward, there continue to be significant challenges for Macedonia, and the World Bank Group will remain an important partner. We will support post-crisis recovery and EU-integration by promoting socially inclusive and environmentally sustainable “green” growth – in the best of today’s generation and the generations to come.
 
According to Ambassador Filippini, grant from the Kingdom of the Netherlands was a sign of confidence in Government activities and a stimulus for it to continue maintaining macroeconomic stability in the country in future.
 
The Kingdom of the Netherlands has awarded Macedonia grant funds in the total amount of EUR 200 million in the period 1999-2010, EUR 100 million out of which as budget support. Financial support by the World Bank amounts to US$ 1.1 billion since 1993, US$ 100 million out of which as grant funds and US$ 480 million as budget support.(MIA)
