Skopje, 5 May 2026 (MIA) - Sustainable public finances and macroeconomic stability are key in conditions of increased global uncertainty, Finance Minister Gordana Dimitrieska-Kochoska said in her address at the Economic and Financial Dialogue held Tuesday in Brussels.

As part of the 12th Economic and Financial Dialogue, discussions focused on the economic development, the challenges and the future plans and also adopted recommendations for targeted policies for each country, which should be implemented in the coming period, the Ministry of Finance said in a press release.

“The limited fiscal space is the most urgent issue facing finance ministers after several consecutive crises and the strong fiscal support provided during the pandemic,” Dimitrieska-Kochoska said.

She noted that the Macedonian economy, despite challenges related to global developments and new energy pressures, is expected to continue stable growth, with a moderate slowdown in the short term and acceleration in the medium term, while risks from a worsening geopolitical situation are being closely monitored.

As she underlined, limited fiscal space represents one of the key challenges, requiring a careful balance between the need for investments and maintaining fiscal stability.

“Fiscal consolidation is gradual and Macedonia’s economic growth in the coming period will be mainly driven by investments in transport infrastructure, healthcare, education and agriculture. Also, given the rapid changes in the geopolitical climate, the energy sector is becoming a priority, as the availability and affordability of electricity are becoming crucial for growth, invesemtn and the political agenda. This requires significant efforts to balance the financial needs for investment with limited fiscal space,” she said.

In addition, she highlighted that efforts are focused on reforms to improve public financial management through gradual fiscal consolidation, better management of public investments, digitalisation and the introduction of e-invoices, reducing the informal economy, and preparing a tax expenditure report along with spending reviews.

Dimitrieska-Kochoska pointed out that the European integration process continues to be a key driver of reforms aimed at structural economic transformation, energy and digital transition and improving the business environment.

The meeting’s joint conclusions stressed the importance of continuing fiscal consolidation with targeted measures to reduce the budget deficit and provide additional fiscal space.

The Economic and Financial Dialogue takes place annually to address the economic policy. This year’s Economic and Financial Dialogue brings together representatives of the EU member states, the European Commission and the European Central Bank, as well as Ministers of Finance and Governors of Central Banks of the Western Balkan countries, Türkiye, Moldova and Ukraine.

Photo: Ministry of Finance