Vienna, 17 January 2019 (MIA) – Eaton Vance Management sees the Republic of Macedonia as one of the most attractive investments in central and eastern Europe, with the former Yugoslav state on track to integrate more with the European Union, Bloomberg reports.
The Boston-based asset manager, which has around $15 billion invested in emerging-market fixed income, favors Macedonia’s euro-denominated debt as it expects the country to follow a similar path of convergence with the EU as regional peers such as Poland, Hungary and Slovenia. Yields on their bonds have compressed in the past two decades as they moved closer to and eventually joined the EU, leaving Eaton Vance searching for similar success stories at earlier stages of development.
“Their destiny is with the EU,” Michael Cirami, co-director of global fixed income at Eaton Vance, said in an interview at a Euromoney forum in Vienna. He also praised Macedonia for prudent management of its budget.
The Balkan country expects a “significant” inflow of foreign-direct investment after its parliament agreed to change the country’s name and lift the main obstacle to eventually joining the EU and NATO, Finance Minister Dragan Tevdovski said Tuesday.
Macedonia also hopes to attract more financial investors by developing its secondary bond market, he said.
Lawmakers voted last week to change the country’s name to “the Republic of North Macedonia” in a bid to end a conflict with neighboring Greece that has blocked its neighbor’s western accession path.