Skopje, 4 September 2024 (MIA) - Prime Minister Hristijan Mickoski said Wednesday the industrial production growth is encouraging and a good indicator that shows businesses' trust in institutions, while expecting the Hungarian loan funds to affect the GDP.

"Industrial production has recorded a rise of 3.8 percent in July after several months of contraction. This is an initial indicator that businesses are finally restoring their trust in institutions. The Government is stable, the business environment is stable, so there are no large political insecurities that usually discourage domestic and foreign investors," PM Mickoski told reporters.

He expects the trend to resume in the third and fourth quarters, considering the Government's decision to greenlight the law on the EUR 500 million loan from Hungary.

"MPs will soon discuss the law and I expect the process to be completed by the end of September. EUR 250 million of this loan will be available to the business community, at a 3.25-percent interest, three-year grace period and 12-year repayment period, whereas the remaining EUR 250 million will be used to finance capital investments in municipalities," said Mickoski.

The PM expects these funds to serve as generator of the GDP growth, positively affecting trends in the fourth quarter of 2024 but also Q1 in 2025.

"I believe that the environment is now open for businessmen to invest and this has a positive effect on the economic potentials," added Mickoski.

Photo: MIA