Skopje, 14 May 2025 (MIA) — At a meeting held in Brussels as part of the annual Economic and Financial Dialogue between the EU and the Western Balkans, also attended by Finance Minister Gordana Dimitrieska Kochoska, National Bank Governor Anita Angelovska Bezhoska spoke about key monetary and fiscal aspects related to the country's macroeconomic situation and economic reforms.

According to a National Bank press release, Angelovska Bezhoska said that not only had the country's macroeconomic stability been maintained, but it had been strengthened despite the series of economic and geopolitical shocks in recent years.

Macroeconomic stability, she said, was the basis of sustainable economic growth and the gradual growth of income toward the EU's median household income. Although income convergence was gaining momentum, she said, the process was still slow, with the country's amounting to 43% of the EU's.

According to the central banker, despite inflation rising to 20% because of world market price shocks at one point, it has now dropped close to the historical average of 2,6%. This was mostly due to global commodity prices stabilizing and the good national monetary policy, she said, adding that research by international monetary institutions, too, revealed that the public puts particularly high trust in the central bank.

The governor also highlighted the importance of maintaining a stable exchange rate, which required sufficient forex reserves. Despite strong pressures and interventions at the foreign currency market, she said the country's forex reserves were now 40% higher than those before the pandemic started.

"This is strong protection against potential future shocks," she said.

Still, she warned that macroeconomic stability could not replace essential structural reforms, especially in times of high uncertainty and rising geopolitical tensions.

"Globalization has been the driver of our region's income convergence," Angelovska Bezhoska said, adding that the central bank's estimates showed deglobalization could decrease growth.   

"At the same time, these global changes offer new opportunities," she said. 

Going forward, according to the governor, the country needs to increase its productivity by innovating, making technological progress, strengthening institutions and improving the business climate. mr/