3rd September 2026, Skopje - The new Eurobond, scheduled for issuance in 2027, forms part of the timely provision of funds to finance the government liabilities, including the repayment of a substantial amount of debt liabilities on the basis of prior borrowing falling due next year, incurred by the previous Government.
This was highlighted by Minister of Finance, Gordana Dimitrieska-Kochoska in response to a journalist’s question regarding the opposition’s allegations of additional borrowing by the Government in the amount of EUR 1.3 billion.
The Minister pointed out that the information regarding the new Eurobond has not yet been considered at a Government session, but that the Ministry of Finance needs to make timely preparations as regards the liabilities falling due in 2027.
“The debt inherited from the opposition and falling due in 2027 amounts to nearly EUR 1.5 billion. These are debt liabilities incurred by the previous Government, which we now have to repay. We have a responsibility to make timely arrangements and secure the necessary funds to repay them. We cannot overlook the fact that almost EUR 1.5 billion in debt liabilities on the basis of prior borrowing, fall due for repayment,” Dimitrieska-Kochoska stated.
She stressed that those who were in charge of the institutions until 2024 should be well aware of the liabilities they left to be repaid in the years ahead. Therefore, the Minister assessed that there is no justification for criticizing the securing of funds to service debt liabilities incurred in previous years.
In addition to these liabilities, 12-month treasury bills amounting to around EUR 1.1 billion also fall due in 2027. At the same time, in accordance with the Fiscal Strategy, a budget deficit of 3.5% of GDP is projected for 2027, which will also need to be financed.
Dimitrieska-Kochoska emphasized that the assessment of borrowing should not take into account only the amount borrowed by the Government, while deliberately disregarding the amount of debt being repaid at the same time. Presenting each new borrowing as entirely new debt, without taking into account the debt liabilities repaid or refinanced with those funds, does not provide an accurate picture of the public debt stock.
New borrowing used for repayment or refinancing of existing liabilities does not automatically result in a corresponding increase in public debt.
As an example, the Minister pointed out that the same applies to household loan refinancing – if a new loan is taken out to repay an existing one, this does not translate into an increase in debt, as the existing liability is repaid at the same time.
The Minister underlined that the Ministry of Finance transparently publishes public debt data and that timely planning of financing sources is necessary to ensure the regular and uninterrupted servicing of the government liabilities.
