17th June 2025, Skopje - Today, Parliament of the Republic of North Macedonia considered the 2026 - 2030 Fiscal Strategy which comprises medium-term guidelines and goals of the fiscal policy, main macroeconomic projections, amounts of the main categories of projected revenues and expenditures, as well as budget deficit and debt projections.
While elaborating on the Fiscal Strategy, the Deputy Minister of Finance, Nikolche Jankulovski, pointed out that the key elements of the fiscal policy in the upcoming medium-term period will comprise: fiscal consolidation by undertaking measures so as to ensure fiscal sustainability over the medium term, disciplined public finance management via fiscal discipline, reduced informal economy and higher budget revenue collection at both national and local level, support to the economy via investments in infrastructure projects, thus creating conditions for growth of businesses and job creation, redesigning public finance structure and maintaining high level of capital expenditures aimed at achieving the projected economic growth, as well as strengthened transparency and accountability.
“During the period 2026 - 2030, tax policy will be geared towards fostering sustainable economic growth and development, while providing legal certainty for taxpayers and ensuring collection of public revenues on regular basis. Budget expenditure side is aligned with the country’s strategic priorities, which comprise boosting the economic growth, stable public finances, improving the public infrastructure and increasing the living standard of the citizens. Public debt management policy will focus on ensuring the funds necessary to cover the budget deficit, repay the due liabilities on the basis of prior borrowings and finance projects, while preventing debt from rising to a level that could jeopardize the country’s economic stability and growth,” Deputy Minister said.
Over the medium-term, fiscal policy envisages gradual fiscal consolidation, with the budget deficit reducing as a percentage share of GDP, as follows: from 4.0% in 2025 to 3.5% in 2026, 3% in 2027, 3% in 2028, 2.8% in 2029 and 2.8% in 2030.
As Deputy Minister highlighted, starting 2027, as per the fiscal projections, compliance with the budget deficit fiscal rule is foreseen. The projected exception of 0.5% of GDP is primarily driven by the planned infrastructure projects, including the road infrastructure, the local infrastructure projects and the defense investments.
