In the next four years, World Bank envisages support, under the newly adopted Country Partnership Strategy, to projects in Macedonia in the amount of US $ 200 million. Projects are in the field of infrastructure, energy, health, education, social protection, agriculture, financial support to local authorities, private sector. Each activity will be designed so as for the country to prepare for EU membership.
 
– The new CPS is designed on the basis of equal partnership relation between Macedonia and the World Bank, including all priorities of the Government relevant to the process of improving standards and quality in all areas of life, as well as obligations the country has towards its citizens and the EU, Vice Prime Minister and Minister of Finance, Zoran Stavreski, said at the presentation of the CPS Wednesday, which the WB Board of Directors adopted on 22 October 2010.
 
He added that the new partnership maps the framework for support this international financial institution extends, which is correlated with the priorities of the Government.
 
The Strategy will be aimed at supporting country’s EU accession, strengthening competitiveness, improving macroeconomic environment, intensifying economic growth by reducing unemployment and strengthening the social protection system. 
During the first two years, i.e. 2011 and 2012, US$ 100 million will be invested, aimed at realization of projects in the energy sector, thus contributing to reducing the import dependence and improving energy connection of Macedonia with the neighbouring countries, at the same time intensifying the use of clean and renewable energy sources. Minister Stavreski said that preparations of two projects had commenced, those being construction of long-distance power line to Serbia, from Stip to Nis, in the amount of US$ 19 million, and construction of Lukovo Pole dam, to be funded by at least US$ 50 million by the World Bank.
 
In cooperation with the World Bank, Macedonia will launch activities for new regional project on insurance against risk of natural disaster. The project will provide for increased access by the households, SMEs, farmers, to a new financial insurance instrument. It is worth US$ 5 million, with a possibility for further increase, including Macedonia and another five countries in the region.
 
Minister Stavreski said that loan on macro-financial and budget support is also envisaged in 2011, in the amount of US$ 30 million.
 
– In 2013 and 2014, focus will be placed on infrastructure and energy projects, being top priority of Macedonia, Finance Minister said, adding that discussions are also ongoing for support to other areas, such as education, health and social sector reforms.
He expects for considerable progress to be achieved in all areas encompassed in the Strategy.
 
So far, the Bank has invested UD$ 1.100 million in almost all sectors and areas in Macedonia, road and railway infrastructure, rehabilitation of energy facilities and construction of electricity distribution facilities, health, education, social protection, agriculture, financial support to local authorities, private sector, etc., Minister Stavreski said, adding the World bank is the most significant international partner to Macedonia in the transition period, showing stability and dedication, contributing to the reforms and modernization of all segments.
 
According to Lilia Burunciuc, World Bank Country Manager in Macedonia, real achievements can be observed on the ground in Macedonia since the extension of the first loan to the country by this international financial institution 15 years ago.
 
– Macedonia achieved remarkable progress over the past decade. There have been impressive achievements in macroeconomic stability, stable monetary policy, improvements in the business surrounding, increased level of investments …, Burunciuc said, adding that there are still challenges to be addressed.
She mentioned unemployment, poverty, health, social protection, competitiveness, business environment and environment protection.
 
– In order to manage these challenges, World Bank, International Finance Corporation and International Bank for Reconstruction and Development are ready to help with this Strategy, based on reform and policy agenda in line with Macedonia’s accession to EU, as well as address the challenges and implement the reforms, Burunciuc said.
 
She underlined that the focus will be place on the labour market, competitiveness, innovations and ecology. – It is important, she added, to know that each activity will be designed so as for the country to prepare for EU membership.
 
During the four-year period, it is expected for IFC to extend support to the private sector in the amount of US$ 100 million aimed at different sectors.
 
When asked for the envisaged 2011 budget items as regards vehicles and measures to reduce poverty, Minister of Finance said that no new cars are envisaged to be purchased. He explained that motor vehicles item in 2011 will account for Denar 1.173 billion, one billion out of which is earmarked for new buses for the City of Skopje, Denar 134 million is envisaged for special vehicles for the Ministry of Internal Affairs, as well as funds for vehicles purchased for our diplomatic and consular affairs. Denar 5.625 billion is envisaged for poverty reduction, Denar 283 million out of which for active employment policies, Denar 417 million for energy poverty, Denar 4 billion and 650 for social benefits, Denar 15 million for sheltering homeless, Denar 170 million for health insurance of all citizens being uninsured under all basis, and Denar 50 million for conditional cash transfers.(MIA)