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Economy of North Macedonia

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Economy of North Macedonia
Skopje, the financial centre of North Macedonia
CurrencyMacedonian denar (den, MKD)
calendar уеаr
Trade organisations
WTO, CEFTA, Open Balkan
Country group
Statistics
PopulationNeutral decrease 1,821,016 (2025 vital statistics)[3]
GDP
GDP rank
  • Increase 3.4% (2025)[4]
  • Increase 3.2% (2026)[4]
  • Increase 3.2% (2027f)[4]
  • Increase 3.1% (2028f)[4]
GDP per capita
  • Increase $11,530 (nominal; 2026)[4]
  • Increase $31,170 (PPP; 2026)[4]
GDP per capita rank
GDP by sector
3.9% (2025)[6]
Population below national poverty line
  • Positive decrease 21.8% (2020)[7]
  • Positive decrease 41.1% at risk of poverty or social exclusion (2018)[8]
  • Steady 16.9% on less than $5.50/day (2020f)[9]
Positive decrease 29.2 low (2024)[10]
Steady 40 out of 100 points (2025, 84th rank)
Labour force
  • Increase 797 884 (2026)[12]
  • Steady 46.5 % employment rate (2026)[13]
Labour force by occupation
Positive decrease 11.3% (2026)[14]
Negative increase 28.8% (2025)[15]
Average gross salary
MKD 69,141 / €1,122.02 / $1,311.86 monthly (Nov, 2025)[16]
MKD 45,961 / €745.86 / $872.05 monthly (Nov, 2025)[17]
Main industries
food processing, beverages, textiles, chemicals, iron, steel, cement, energy, pharmaceuticals, automotive parts
External
ExportsDecrease $9.254 billion (2024)[18]
Export goods
foodstuffs, beverages, tobacco; textiles, miscellaneous manufactures, iron, steel; automotive parts
Main export partners
ImportsPositive decrease $12.548 billion (2024)[19]
Import goods
machinery and equipment, automobiles, chemicals, fuels, food products
Main import partners
FDI stock
  • Increase $6.937 billion (31 December 2017 est.)[20]
  • Increase Abroad: $1.169 billion (31 December 2017 est.)[20]
Increase −$151 million (2017 est.)[20]
Negative increase $8.79 billion (31 December 2017 est.)[20]
Public finance
Positive decrease 47.3% of GDP (2017)[21]
Increase $2.802 billion (31 December 2017 est.)[20]
−2.7% (of GDP) (2017 est.)[20]
3.295 billion (2017 est.)[20]
3.605 billion (2017 est.)[20]
Standard & Poor's:[22]
BB-(Domestic)
BB-(Foreign)
BB(T&C Assessment)
Outlook: Stable[23] (2014)
Fitch:[23]
BB+
Outlook: Stable (2011)
All values, unless otherwise stated, are in US dollars.

North Macedonia has a developing transition economy. Since its 1991 independence movement, the Macedonian economy liberalized, with highly accommodative foreign policy.[5][24] Its economic growth was severely curbed during the 1990s after the United Nations heavily sanctioned Yugoslavia and Greece independently sanctioned North Macedonia.[25][26] The economy stabilized through remittances and foreign aid, with positive growth until 2001. Successful privatization boosted regional integration during the 2000s. North Macedonia is self-sufficient in meeting basic food needs but is dependent on imports for nearly all energy and modern infrastructure.[24][27]

History

[edit]

North Macedonia's economy has almost always been completely agricultural in nature from the beginning of the Ottoman Empire when it was part of the Sanjak of Üsküp and Salonica vilayet. It concentrated on pasture farming and vineyard growing. Opium poppy, introduced into the region in 1835, became an important crop as well by the late 19th century, and remained so until the 1930s.[28]

The role of industry in the region's economy increased during the industrial age. The geographical region of Macedonia was responsible for large outputs of textiles and several other goods in the Ottoman Empire. However, outdated techniques to produce the goods persisted. The stagnation of the regional economy began under the rule of the Kingdom of Serbia.[citation needed]

When World War II ended, the local economy began to experience revitalization by way of subsidies from Federal Belgrade. The subsidies assisted North Macedonia to redevelop its "lost" industry and shift its agricultural-centered economy to an industry-centered economy with new hearts of industry emerging all over the country in Veles, Bitola, Štip and Kumanovo. Previously, Skopje was the only industrial centre in North Macedonia, this expanded to several other cities during Socialist Yugoslavia.

After the fall of Socialist Yugoslavia, the economy experienced several shocks that damaged the local economy. Starting with the Western embargo on the Yugoslavian common market, and ending with the Greek embargo on Macedonia over the Macedonia naming dispute.[citation needed] The economy began to recover in 1995 and experienced a full recovery after the 2001 insurgency by ethnic Albanians. Macedonia's GDP grew by an average of 6% annually until the 2008 financial crisis, when its economy contracted. The crisis had little impact on the country. North Macedonia today maintains a low debt-to-GDP ratio and is experiencing a revitalized investment interest by companies from Turkey, Algeria, Albania, and others.

North Macedonia is vulnerable to economic developments in Europe – due to strong banking and trade ties – and dependent on regional integration and progress toward EU membership for continued economic growth. At independence in September 1991, North Macedonia was the least developed of the Yugoslav republics, producing a mere 5% of the total federal output of goods and services. The collapse of the Socialist Federal Republic of Yugoslavia ended transfer payments from the central government and eliminated advantages from inclusion in a de facto free trade area. An absence of infrastructure, UN sanctions on the downsized Yugoslavia, and a Greek economic embargo over a dispute about the country's constitutional name and flag hindered economic growth until 1996.[citation needed] Since then, North Macedonia has maintained macroeconomic stability with low inflation, but it has so far lagged the region in attracting foreign investment and creating jobs, despite making extensive fiscal and business sector reforms. Official unemployment remains high at 24.6% (2015, Q4), but may be overstated based on the existence of an extensive gray market that is not captured by official statistics. In the wake of the global economic downturn, North Macedonia has experienced decreased foreign direct investment, lowered credit availability, and a large trade deficit. However, as a result of conservative fiscal policies and a sound financial system, in 2010 the country credit rating improved slightly to BB+ and was kept at that level in 2011. Macroeconomic stability has been maintained by a prudent monetary policy, which keeps the domestic currency pegged against the euro. As a result, GDP growth was modest, but positive, in 2010 and 2011, and inflation was under control. Latest data from North Macedonia's State Statistical Office show that overall, output for 2012 dropped by 6.6 percent compared to 2011.[29]

Macroeconomics

[edit]

Real GDP in the first half of 2011 increased by 5.2%. This robust growth was mainly driven by 23.6% growth in the construction sector; 13.2% in mining, quarrying, and manufacturing; 12.4% in wholesale and retail trade; and 4.2% in transport and communication services. Industrial output in the first 8 months of 2011 was 7.5% higher than in the same period of 2010. Low public and external debt and a comfortable level of foreign exchange reserves allowed for further relaxation of monetary policy, with the reference interest rate of the Central Bank decreasing to 4%. Due to rising prices for energy, fuel, and food on international markets, inflation increased in the first half of 2011, but later decreased to an annualized rate of 3.4% at the end of September. The official unemployment rate dropped to 24.6% in the fourth quarter of 2015, but remained one of the highest in Europe. Many people work in the gray economy, and many experts estimate North Macedonia's actual unemployment is lower.

The government budget has generally kept within projections. The budget deficit at the end of August 2011 reached about 2% of GDP, and fiscal authorities seemed committed to keeping it under the projected target of 2.5% of GDP by the end of the year. In addition to 220 million euros (approx. $298 million) drawn from an IMF Precautionary Credit Line (PCL) in March, financing mostly came from domestic borrowing. However, by the end of the year a financing gap remained of about 50 million to 60 million euros (approx. $67 million to $81 million), which the government plans to cover by borrowing from international capital markets, supported by a policy-based guarantee by the World Bank. The central government's public debt remained low at 26% of GDP, but represents a gradual increase from previous years. Despite lowering the Central Bank bills rate, the Central Bank has not changed liquidity indicators for banks or the reserve requirement since 2009, curbing credit growth to 7.5% in the first three-quarters of 2011. Nikola Gruevski says the government will pay off its entire debt to the private sector by February 2013 in order to improve the economy's overall liquidity.[30] North Macedonia's external trade struggled in 2010 due to the slow recovery from the economic crisis of its main trading partners, particularly EU members. Starting from a very low base, export growth in the first 8 months of 2011 reached 41.7%, topping import growth of 36.8%. The trade deficit has widened to 18.3% of GDP, approaching the end-year target of 21.9% of GDP. At the same time, the current account balance deficit significantly improved and the end-year projection was revised upward to 5.5% of GDP. This was due primarily to a 4.4% higher inflow of current transfers, mostly during the summer, and came despite a poor level of foreign direct investment (FDI) of only $237.2 million by end-July 2011. Foreign currency reserves remained at about $2.6 billion, a level that comfortably covers 4 months of imports and about 110% of the country's short-term debt.

In October 2010, the World Bank Board of Directors approved a new Country Partnership Strategy (CPS) with North Macedonia for the period 2011–2014. This CPS will provide the country assistance of about $100 million in funding for the first 2 years to improve competitiveness, strengthen employability and social protection, and increase the use of sustainable energy. This assistance also includes a commitment of $30 million in direct budget support in the form of a policy-based guarantee by the World Bank to the government to facilitate its access to financing from international capital markets, a process that had been started as of November 2011.

North Macedonia became the first country eligible for the IMF's Precautionary Credit Line in January 2011. This program gives North Macedonia a line of credit worth 475 million euros (about $675 million) over 2 years, intended to be accessed only in case of need brought about by external shocks. The credit line was approved after extensive consultations with the IMF in October and December 2010. The IMF expects that there will be no additional withdrawals from the PCL.

North Macedonia has the best economic freedom in the region, according to the 2012 Index of Economic Freedom, released in January, 2012 by the conservative U.S. think tank Heritage Foundation and the Wall Street Journal.[31]

Unemployment

[edit]
Unemployed[32] 1995 2000 2005 2010 2015 2020 2025
Persons N/A N/A N/A 311,000 265,000 156,627 91,765
Percent (%) 30% 33% 38% 32% 27% 16.2% 11.5%

Unemployment is a continuing problem in the Republic's economy where a large percentage of the Republic's qualified labor force cannot find work. Many people lost their jobs with the collapse of Yugoslavia. As a result, national unemployment was above 35% (37.30% in 2005), but that number has since dropped to 11.7% (Q1, 2025), with population below the poverty line also dropping from 30.4% (2011) to 21.5% (2015), it is reasonable to assume that based on the trend over the past few years, further declines are likely for both unemployment and poverty.[33] Full-time employment has risen steadily over the last few years,[34] with part-time employment trending slightly downward over the same period resulting in an overall increase to employment, wages increased sharply after 2008, with steady increases continuing into 2016.[35]

Sectors

[edit]

Agriculture

[edit]
Vineyard in North Macedonia, 2013
Pelagonija, breadbasket region of North Macedonia, 2009
This section is an excerpt from Agriculture in North Macedonia.[edit]

Agriculture in North Macedonia provides a livelihood for a fifth of the country's population, where half live in a rural area. Industrialisation of the country was very delayed, due to the long Ottoman domination, and then destruction from World War I and Serbian occupation. Massive agrarian reforms began under Socialist Federative Yugoslavia with its own communist rule. The continental and sub-Mediterranean climates in the country allows for a great diversity of output, but the pronounced terrain creates areas that are unexploitable for farmers. Macedonian agriculture is dominated by livestock farming, especially in its mountainous regions, viticulture, and the growing of fruit and vegetables, cereals, and tobacco. Agriculture in the country is characterised by numerous small-scale family farms, but also by large businesses, left over from the socialist era. Since its independence in 1991, the country has become a market economy. Today, agriculture accounts for 10% of North Macedonia's GDP.[36][37]

North Macedonia produced in 2020:

In addition to smaller productions of other agricultural products.[38]

Tourism

[edit]
Ohrid is a popular tourist destination in 2012.
This section is an excerpt from Tourism in North Macedonia.[edit]

Tourism in North Macedonia is a large factor of the nation's economy. The country's large abundance of natural and cultural attractions make it suitable for tourism.

In 2019, North Macedonia received 1,184,963 tourist arrivals out of which 757,593 were foreign.[39]

Energy

[edit]

In September 2019, it was said that "thermal power plants account for 842 MW of North Macedonia’s total power generation capacity of 1.41 GW, with hydroelectricity and wind accounting for 553.6 MW and 36.8 MW, respectively."[40] There are 20 economically-exploitable locations for coal in the country, whose total geological reserves are estimated at 2,5 billion tons.[41] There exist four hydroelectric reservoirs, located at: Pelagonia, Kičevo, Mariovo and Tikveš. The first two produce energy, while the latter two are speculative.[41]

Mining and metallurgy

[edit]

The country has been home to mines since at least the Roman era. Gold, silver, lead, copper, iron, nickel, zinc, gypsum and sulfur have been or are now being economically exploited. Marble has since Ancient Greek days been quarried at Sivec.

Trade

[edit]
Treemap of product exports from North Macedonia in 2019.Reaction and catalytic products (chemical products) — 19.26% — US$ 1,512,688,101Centrifuges (machines) — 10.31% — US$ 810,046,801Insulated wire (machines) — 8.17% — US$ 641,641,210Vehicle parts (transportation) — 4.95% — US$ 388,609,795Buses (transportation) — 4.42% — US$ 347,090,730Seats (miscellaneous) — 3.33% — US$ 261,601,367Ferroalloys (metals) — 2.77% — US$ 217,401,862Electrical control boards (machines) — 2.18% — US$ 171,282,033Raw tobacco (foodstuffs) — 1.91% — US$ 150,083,168Hot-rolled iron (metals) — 1.90% — US$ 149,093,485Other small iron pipes (metals) — 1.45% — US$ 114,098,438Non-knit women's suits (textiles) — 1.43% — US$ 112,562,323Non-knit men's suits (textiles) — 1.38% — US$ 108,124,535Packaged medicaments (chemical products) — 1.34% — US$ 105,550,544Refined petroleum (mineral products) — 1.25% — US$ 98,126,218Electric batteries (machines) — 1.20% — US$ 94,277,505Coated flat-rolled iron (metals) — 1.14% — US$ 89,177,208Non-knit men's shirts (textiles) — 1.02% — US$ 80,025,496Lead ore (mineral products) — 0.96% — US$ 75,502,726Baked goods (foodstuffs) — 0.88% — US$ 69,123,008Electric heaters (machines) — 0.83% — US$ 65,083,962Electricity (mineral products) — 0.76% — US$ 59,803,635Marble, travertine and alabaster (mineral products) — 0.73% — US$ 57,461,903Non-knit women's shirts (textiles) — 0.71% — US$ 55,628,439Copper ore (mineral products) — 0.66% — US$ 52,130,183Wine (foodstuffs) — 0.66% — US$ 51,832,654Zinc ore (mineral products) — 0.64% — US$ 50,307,299Low-voltage protection equipment (machines) — 0.52% — US$ 40,671,590Non-iron and steel slag, ash and residues (mineral products) — 0.47% — US$ 37,282,890Knit women's suits (textiles) — 0.45% — US$ 35,601,656Mattresses (miscellaneous) — 0.45% — US$ 34,962,318Other processed vegetables (foodstuffs) — 0.43% — US$ 33,418,326Electrical lighting and signalling equipment (machines) — 0.40% — US$ 31,348,848Iron stovetops (metals) — 0.39% — US$ 30,377,591Raw iron bars (metals) — 0.37% — US$ 28,940,308Plastic pipes (plastics and rubbers) — 0.36% — US$ 28,479,290Apples and pears (vegetable products) — 0.34% — US$ 27,040,440Scrap iron (metals) — 0.34% — US$ 26,887,735Flavored water (foodstuffs) — 0.34% — US$ 26,830,034Cabbages (vegetable products) — 0.33% — US$ 26,165,226Leather footwear (footwear and headwear) — 0.32% — US$ 25,431,062Other heating machinery (machines) — 0.31% — US$ 24,438,606Knit t-shirts (textiles) — 0.31% — US$ 24,149,383Locomotive parts (transportation) — 0.30% — US$ 23,346,681Telephones (machines) — 0.28% — US$ 22,240,955Non-knit active wear (textiles) — 0.28% — US$ 21,980,878Other vegetables (vegetable products) — 0.28% — US$ 21,812,948Cement (mineral products) — 0.25% — US$ 19,779,997Other live plants (vegetable products) — 0.25% — US$ 19,441,766Printed circuit boards (machines) — 0.25% — US$ 19,342,839Other edible preparations (foodstuffs) — 0.23% — US$ 18,264,822Rolled tobacco (foodstuffs) — 0.23% — US$ 18,076,118Iron blocks (metals) — 0.23% — US$ 17,952,204Iron structures (metals) — 0.22% — US$ 17,389,756Knit women's shirts (textiles) — 0.22% — US$ 17,055,152Pickled foods (foodstuffs) — 0.22% — US$ 17,011,817Medical instruments (instruments) — 0.22% — US$ 16,958,348Non-knit women's coats (textiles) — 0.21% — US$ 16,769,851Plastic lids (plastics and rubbers) — 0.21% — US$ 16,369,776House linens (textiles) — 0.21% — US$ 16,356,729Other furniture (miscellaneous) — 0.20% — US$ 16,053,120Plastic building materials (plastics and rubbers) — 0.20% — US$ 15,900,298Footwear parts (footwear and headwear) — 0.20% — US$ 15,593,509Glass fibers (stone and glass) — 0.19% — US$ 15,231,249Other stone articles (stone and glass) — 0.19% — US$ 15,036,714Knit sweaters (textiles) — 0.19% — US$ 14,626,884Chocolate (foodstuffs) — 0.19% — US$ 14,603,552Grapes (vegetable products) — 0.18% — US$ 13,838,737Glaziers putty (chemical products) — 0.17% — US$ 13,689,024Scrap copper (metals) — 0.17% — US$ 13,479,754Frozen fruits and nuts (vegetable products) — 0.17% — US$ 13,297,006Seed oils (animal and vegetable bi-products) — 0.16% — US$ 12,613,529Other plastic sheetings (plastics and rubbers) — 0.16% — US$ 12,463,949Tomatoes (vegetable products) — 0.16% — US$ 12,300,782Pitted fruits (vegetable products) — 0.16% — US$ 12,297,446Plaster articles (stone and glass) — 0.15% — US$ 12,055,710Rubber pipes (plastics and rubbers) — 0.15% — US$ 12,054,034Other cloth articles (textiles) — 0.14% — US$ 11,275,681Sausages (foodstuffs) — 0.14% — US$ 11,155,157Air pumps (machines) — 0.14% — US$ 10,887,679Sheep and goat meat (animal products) — 0.14% — US$ 10,787,474Vehicle chassis (transportation) — 0.13% — US$ 10,378,138Electrical capacitors (machines) — 0.13% — US$ 10,220,178Metal mountings (metals) — 0.13% — US$ 10,183,930Knit socks and hosiery (textiles) — 0.13% — US$ 9,957,261Machinery having individual functions (machines) — 0.13% — US$ 9,951,609Trailers (transportation) — 0.13% — US$ 9,842,874Raw plastic sheeting (plastics and rubbers) — 0.12% — US$ 9,797,825Fermented milk products (animal products) — 0.12% — US$ 9,557,406Refractory bricks (stone and glass) — 0.12% — US$ 9,553,099Non-knit men's coats (textiles) — 0.11% — US$ 9,020,746Prepared cereals (foodstuffs) — 0.11% — US$ 9,012,852Knit men's shirts (textiles) — 0.11% — US$ 8,785,767Cold-rolled iron (metals) — 0.11% — US$ 8,690,860Excavation machinery (machines) — 0.11% — US$ 8,506,763Large coated flat-rolled iron (metals) — 0.11% — US$ 8,417,878Other footwear (footwear and headwear) — 0.11% — US$ 8,338,616Felt or coated fabric garments (textiles) — 0.10% — US$ 8,113,642Confectionery sugar (foodstuffs) — 0.10% — US$ 8,088,748Precious metal compounds (chemical products) — 0.10% — US$ 7,615,999Frozen vegetables (vegetable products) — 0.10% — US$ 7,512,326Iron sheet piling (metals) — 0.10% — US$ 7,479,333Ice cream (foodstuffs) — 0.09% — US$ 7,412,775Light rubberized knitted fabric (textiles) — 0.09% — US$ 7,270,553Granulated slag (mineral products) — 0.09% — US$ 7,000,912Bulbs and roots (vegetable products) — 0.09% — US$ 6,986,942Iron cloth (metals) — 0.09% — US$ 6,851,850Yeast (foodstuffs) — 0.09% — US$ 6,830,527Ethylene polymers (plastics and rubbers) — 0.09% — US$ 6,695,406Laboratory ceramic ware (stone and glass) — 0.08% — US$ 6,554,741Building stone (stone and glass) — 0.08% — US$ 6,503,615Non-woven textiles (textiles) — 0.08% — US$ 6,489,876Retail cotton yarn (textiles) — 0.08% — US$ 6,432,208Liquid pumps (machines) — 0.08% — US$ 6,391,360Precious metal scraps (precious metals) — 0.08% — US$ 6,346,410Petroleum coke (mineral products) — 0.08% — US$ 6,183,498Vinyl chloride polymers (plastics and rubbers) — 0.08% — US$ 6,151,350Other prepared meat (foodstuffs) — 0.08% — US$ 6,094,073Roofing tiles (stone and glass) — 0.08% — US$ 6,039,972Iron wire (metals) — 0.08% — US$ 6,016,487Non-knit babies' garments (textiles) — 0.08% — US$ 5,926,953Paper containers (paper goods) — 0.07% — US$ 5,813,170Milk (animal products) — 0.07% — US$ 5,710,587Other iron products (metals) — 0.07% — US$ 5,600,920Heavy mixed woven cotton (textiles) — 0.07% — US$ 5,412,342Lifting machinery (machines) — 0.07% — US$ 5,335,173Plastic coated textile fabric (textiles) — 0.07% — US$ 5,226,806Dried vegetables (vegetable products) — 0.07% — US$ 5,140,361Packing bags (textiles) — 0.06% — US$ 4,894,305Corn (vegetable products) — 0.06% — US$ 4,826,558Metal molds (machines) — 0.06% — US$ 4,776,058Beauty products (chemical products) — 0.06% — US$ 4,761,172Models and stuffed animals (miscellaneous) — 0.06% — US$ 4,741,267Dolomite (mineral products) — 0.06% — US$ 4,720,182Recovered paper (paper goods) — 0.06% — US$ 4,590,377Other plastic products (plastics and rubbers) — 0.06% — US$ 4,476,512Iron nails (metals) — 0.06% — US$ 4,355,858Other aluminium products (metals) — 0.06% — US$ 4,351,436Corrugated paper (paper goods) — 0.06% — US$ 4,331,940Synthetic filament yarn woven fabric (textiles) — 0.05% — US$ 4,184,317Hydrogen (chemical products) — 0.05% — US$ 4,178,009Other uncoated paper (paper goods) — 0.05% — US$ 4,080,304Forging machines (machines) — 0.05% — US$ 4,047,510Scrap plastic (plastics and rubbers) — 0.05% — US$ 4,032,595Monofilament (plastics and rubbers) — 0.05% — US$ 3,941,678Cucumbers (vegetable products) — 0.05% — US$ 3,885,762Other inorganic acids (chemical products) — 0.05% — US$ 3,874,468Industrial fatty acids, oils and alcohols (chemical products) — 0.05% — US$ 3,856,137Toilet paper (paper goods) — 0.05% — US$ 3,840,524Base metal watches (instruments) — 0.05% — US$ 3,807,085Spice seeds (vegetable products) — 0.05% — US$ 3,746,943Refined copper (metals) — 0.05% — US$ 3,720,234Fruit juice (foodstuffs) — 0.05% — US$ 3,623,620Specialized vehicles (transportation) — 0.05% — US$ 3,623,275Wood carpentry (wood products) — 0.05% — US$ 3,612,389Polyacetals (plastics and rubbers) — 0.05% — US$ 3,553,597Gravel and crushed stone (mineral products) — 0.05% — US$ 3,538,632Scrap aluminium (metals) — 0.04% — US$ 3,504,628Quartz (mineral products) — 0.04% — US$ 3,497,862Beer (foodstuffs) — 0.04% — US$ 3,399,101Broadcasting equipment (machines) — 0.04% — US$ 3,370,611Rice (vegetable products) — 0.04% — US$ 3,350,258Sauces and seasonings (foodstuffs) — 0.04% — US$ 3,344,356Thermostats (instruments) — 0.04% — US$ 3,317,465Narrow woven fabric (textiles) — 0.04% — US$ 3,307,315Computers (machines) — 0.04% — US$ 3,271,865Knit men's undergarments (textiles) — 0.04% — US$ 3,209,900Brochures (paper goods) — 0.04% — US$ 3,186,280Electrical transformers (machines) — 0.04% — US$ 3,176,577Cars (transportation) — 0.04% — US$ 3,156,681Petroleum gas (mineral products) — 0.04% — US$ 3,151,939Plastic housewares (plastics and rubbers) — 0.04% — US$ 3,107,594Bedspreads (textiles) — 0.04% — US$ 3,063,534Other processed fruits and nuts (foodstuffs) — 0.04% — US$ 2,944,086Knit men's suits (textiles) — 0.04% — US$ 2,905,280Wheat flours (vegetable products) — 0.03% — US$ 2,742,600Retail artificial staple fibers yarn (textiles) — 0.03% — US$ 2,726,477Wood crates (wood products) — 0.03% — US$ 2,678,031Citrus (vegetable products) — 0.03% — US$ 2,664,073Aluminium structures (metals) — 0.03% — US$ 2,615,614Tanned equine and bovine hides (animal hides) — 0.03% — US$ 2,611,867Prefabricated buildings (miscellaneous) — 0.03% — US$ 2,596,935Knit women's coats (textiles) — 0.03% — US$ 2,544,620Refrigerators (machines) — 0.03% — US$ 2,532,890Gypsum (mineral products) — 0.03% — US$ 2,507,883Paper labels (paper goods) — 0.03% — US$ 2,468,382Non-fillet fresh fish (animal products) — 0.03% — US$ 2,453,051Perfume plants (vegetable products) — 0.03% — US$ 2,430,904Cleaning products (chemical products) — 0.03% — US$ 2,379,600Explosive ammunition (weapons) — 0.03% — US$ 2,376,465Propylene polymers (plastics and rubbers) — 0.03% — US$ 2,337,566Onions (vegetable products) — 0.03% — US$ 2,308,164Shaving products (chemical products) — 0.03% — US$ 2,299,182Melons (vegetable products) — 0.03% — US$ 2,285,281Other electrical machinery (machines) — 0.03% — US$ 2,236,813Asphalt (stone and glass) — 0.03% — US$ 2,233,688Coffee (vegetable products) — 0.03% — US$ 2,184,683Synthetic monofilament (textiles) — 0.03% — US$ 2,182,150Other frozen vegetables (foodstuffs) — 0.03% — US$ 2,162,343Trunks and cases (animal hides) — 0.03% — US$ 2,131,177Stone processing machines (machines) — 0.03% — US$ 2,124,126Metal insulating fittings (machines) — 0.03% — US$ 2,045,562Bovine (animal products) — 0.03% — US$ 2,020,733Perfumes (chemical products) — 0.03% — US$ 1,987,071Washing and bottling machines (machines) — 0.02% — US$ 1,896,705Delivery trucks (transportation) — 0.02% — US$ 1,879,803Knit women's undergarments (textiles) — 0.02% — US$ 1,876,952Wheelchairs (transportation) — 0.02% — US$ 1,827,447Cheese (animal products) — 0.02% — US$ 1,804,174Other cast iron products (metals) — 0.02% — US$ 1,802,105Office machine parts (machines) — 0.02% — US$ 1,800,137Light pure woven cotton (textiles) — 0.02% — US$ 1,748,834Hair products (chemical products) — 0.02% — US$ 1,712,841Sawn wood (wood products) — 0.02% — US$ 1,706,760Large iron containers (metals) — 0.02% — US$ 1,702,798Paintings (arts and antiques) — 0.02% — US$ 1,689,782Heavy pure woven cotton (textiles) — 0.02% — US$ 1,684,881Textile footwear (footwear and headwear) — 0.02% — US$ 1,677,309Other measuring instruments (instruments) — 0.02% — US$ 1,653,140Aluminium plating (metals) — 0.02% — US$ 1,614,084Ball bearings (machines) — 0.02% — US$ 1,574,676Orthopedic appliances (instruments) — 0.02% — US$ 1,566,673Asphalt mixtures (mineral products) — 0.02% — US$ 1,560,781Aircraft parts (transportation) — 0.02% — US$ 1,538,043Furskin apparel (animal hides) — 0.02% — US$ 1,522,947Aluminium bars (metals) — 0.02% — US$ 1,474,422Electric motor parts (machines) — 0.02% — US$ 1,454,829Other headwear (footwear and headwear) — 0.02% — US$ 1,448,914Iron fasteners (metals) — 0.02% — US$ 1,432,922Electrical power accessories (machines) — 0.02% — US$ 1,421,035Iron gas containers (metals) — 0.02% — US$ 1,415,922Metalworking machine parts (machines) — 0.02% — US$ 1,404,321Hard liquor (foodstuffs) — 0.02% — US$ 1,395,573Video and card games (miscellaneous) — 0.02% — US$ 1,390,372Feldspar (mineral products) — 0.02% — US$ 1,365,631Tractors (transportation) — 0.02% — US$ 1,360,740Other fruits (vegetable products) — 0.02% — US$ 1,358,386Potatoes (vegetable products) — 0.02% — US$ 1,329,961Other printed material (paper goods) — 0.02% — US$ 1,293,414Other synthetic fabrics (textiles) — 0.02% — US$ 1,285,103Jams (foodstuffs) — 0.02% — US$ 1,279,809Soap (chemical products) — 0.02% — US$ 1,269,486Iron oxides and hydroxides (chemical products) — 0.02% — US$ 1,267,374Wheat (vegetable products) — 0.02% — US$ 1,261,566Bran (foodstuffs) — 0.02% — US$ 1,254,803Valves (machines) — 0.02% — US$ 1,229,928Blood, antisera, vaccines, toxins and cultures (chemical products) — 0.01% — US$ 1,171,618Rubberworking machinery (machines) — 0.01% — US$ 1,170,684Foliage (vegetable products) — 0.01% — US$ 1,163,252Other construction vehicles (machines) — 0.01% — US$ 1,145,556Large flat-rolled iron (metals) — 0.01% — US$ 1,140,130Steel wire (metals) — 0.01% — US$ 1,129,808Transmissions (machines) — 0.01% — US$ 1,122,583Pepper (vegetable products) — 0.01% — US$ 1,121,014Electrical parts (machines) — 0.01% — US$ 1,120,968Textile scraps (textiles) — 0.01% — US$ 1,115,455Iron pipe fittings (metals) — 0.01% — US$ 1,109,672Hydraulic turbines (machines) — 0.01% — US$ 1,073,054Sheep hides (animal hides) — 0.01% — US$ 1,066,758Scrap vessels (transportation) — 0.01% — US$ 1,063,032Interchangeable tool parts (metals) — 0.01% — US$ 1,060,705Malt extract (foodstuffs) — 0.01% — US$ 1,044,986Cellulose fibers paper (paper goods) — 0.01% — US$ 1,040,684Styrene polymers (plastics and rubbers) — 0.01% — US$ 1,039,435Crustaceans (animal products) — 0.01% — US$ 1,034,539Non-fillet frozen fish (animal products) — 0.01% — US$ 1,012,462Margarine (animal and vegetable bi-products) — 0.01% — US$ 1,011,984Other leather articles (animal hides) — 0.01% — US$ 1,006,509Retail wool or animal hair yarn (textiles) — 0.01% — US$ 996,234Knit men's coats (textiles) — 0.01% — US$ 971,699Small iron containers (metals) — 0.01% — US$ 971,407Cement articles (stone and glass) — 0.01% — US$ 956,301Refractory cements (chemical products) — 0.01% — US$ 929,392Raw aluminium (metals) — 0.01% — US$ 929,014Combustion engines (machines) — 0.01% — US$ 906,431Medical furniture (miscellaneous) — 0.01% — US$ 882,236Harvesting machinery (machines) — 0.01% — US$ 877,593Iron powder (metals) — 0.01% — US$ 876,697Tobacco processing machines (machines) — 0.01% — US$ 867,306Water (foodstuffs) — 0.01% — US$ 858,891Molluscs (animal products) — 0.01% — US$ 856,228Soil preparation machinery (machines) — 0.01% — US$ 852,913Other mineral (mineral products) — 0.01% — US$ 851,580Central heating boilers (machines) — 0.01% — US$ 844,308Fork-lifts (machines) — 0.01% — US$ 823,671Rare-earth metal compounds (chemical products) — 0.01% — US$ 821,472Knitted hats (footwear and headwear) — 0.01% — US$ 815,112Other nuts (vegetable products) — 0.01% — US$ 789,574Unpackaged medicaments (chemical products) — 0.01% — US$ 789,236Uncoated kraft paper (paper goods) — 0.01% — US$ 786,885Values below 0.01% (machines) — 0.19% — US$ 14,821,930Values below 0.01% (textiles) — 0.13% — US$ 10,506,924Values below 0.01% (chemical products) — 0.12% — US$ 9,320,965Values below 0.01% (metals) — 0.08% — US$ 6,599,180Values below 0.01% (vegetable products) — 0.07% — US$ 5,567,666Values below 0.01% (animal products) — 0.05% — US$ 4,296,914Values below 0.01% (foodstuffs) — 0.05% — US$ 4,186,925Values below 0.01% (stone and glass) — 0.05% — US$ 3,793,398Values below 0.01% (instruments) — 0.04% — US$ 3,042,202Values below 0.01% (plastics and rubbers) — 0.04% — US$ 2,906,005Values below 0.01% (paper goods) — 0.04% — US$ 2,871,367Values below 0.01% (miscellaneous) — 0.03% — US$ 2,398,969Values below 0.01% (wood products) — 0.03% — US$ 2,300,908Values below 0.01% (mineral products) — 0.02% — US$ 1,835,425Values below 0.01% (animal and vegetable bi-products) — 0.02% — US$ 1,750,044Values below 0.01% (animal hides) — 0.02% — US$ 1,609,602Values below 0.01% (footwear and headwear) — 0.01% — US$ 824,415Values below 0.01% (transportation) — 0.01% — US$ 680,229Values below 0.01% (arts and antiques) — 0.00% — US$ 259,483
Exports of North Macedonia by product category (2019)
  Chemical products
  Transportation
  Machines
  Mineral products
  Plastics and rubbers
  Metals
  Foodstuffs
  Precious metals
  Textiles
  Instruments
  Animal products
  Vegetable products
  Paper goods
  Footwear and headwear
  Miscellaneous
  Stone and glass
  Wood products
  Animal and vegetable bi-products
  Animal hides
  Arts and antiques
  Weapons

North Macedonia remains committed to pursuing membership in the European Union (EU) and NATO.[42] It became a full World Trade Organization (WTO) member in April 2003. Following a 1997 cooperation agreement with the EU, North Macedonia signed a Stabilization and Association Agreement with the EU in April 2001, giving North Macedonia duty-free access to European markets. In December 2005, it moved a step forward, obtaining candidate country status for EU accession. North Macedonia has had a foreign trade deficit since 1994, which reached a record high of $2.873 billion in 2008, or 30.2% of GDP. Total trade in 2010 (imports plus exports of goods and services) was $8.752 billion, and the trade deficit amounted to $2.149 billion, or 23.4% of GDP. In the first 8 months of 2011, total trade was $7.470 billion and the trade deficit was $1.778 billion. A significant 56.5% of North Macedonia's total trade was with EU countries. North Macedonia's major trading partners are Germany, Greece, Serbia, Bulgaria, Russia, and Italy. In 2010, total trade between North Macedonia and the United States was $116.6 million, and in the first 8 months of 2011 it was $65 million. U.S. meat, mainly poultry, and electrical machinery and equipment have been particularly attractive to North Macedonia importers. Principal exports from North Macedonia to the United States are tobacco, apparel, iron, and steel.

North Macedonia has bilateral free trade agreements with Ukraine, Turkey, and the European Free Trade Association (EFTA—Switzerland, Norway, Iceland, and Liechtenstein). Bilateral agreements with Albania, Bosnia and Herzegovina, Croatia, Serbia, Montenegro, Kosovo, and Moldova were replaced by membership in the Central European Free Trade Agreement (CEFTA). North Macedonia also has concluded an "Agreement for Promotion and Protection of Foreign Direct Investments" with Albania, Austria, Bosnia and Herzegovina, Bulgaria, Belarus, Belgium, Luxembourg, Germany, Egypt, Iran, Italy, India, Spain, Serbia, Montenegro, People's Republic of China, South Korea, Malaysia, Poland, Romania, Russia, Slovenia, Turkey, Ukraine, Hungary, Finland, France, the Netherlands, Croatia, Czech Republic, Switzerland, and Sweden.

As of 2020, the country had signed free trade agreements with the Central European Free Trade Agreement (CEFTA), the Stabilisation and Association Agreement with the European Union, the European Free Trade Association (EFTA) with Switzerland, Norway, Iceland, and Liechtenstein, and bilateral agreements with Turkey and Ukraine.[43]

Free Economic Zones

[edit]

In a bid to attract more interest from domestic and foreign investors after 2000 the government has pursued a Free economic zone (FEZ) policy, in which more than a dozen geographically disparate FEZs have sprouted. One benefit is a tax holiday for 10 years. The social contribution rate hovered at approximately 30% for the five-year period to 2019.[43]

Data

[edit]
Year[44] GDP
(in bil. US$ PPP)		 GDP per capita
(in US$ PPP)		 GDP
(in bil. US$ nominal)		 GDP per capita
(in US$ nominal)		 GDP growth rate
1992 12.5 6,470 2.4 1,264 n/a
1993 11.8 6,097 2.7 1,384 -7.5%
1994 11.9 6,084 3.6 1,824 -1.8%
1995 12.0 6,107 4.7 2,387 -1.1%
1996 12.4 6,250 4.6 2,348 1.2%
1997 12.7 6,423 3.9 1,980 1.4%
1998 13.3 6,683 3.8 1,889 3.4%
1999 14.1 7,041 3.9 1,932 4.3%
2000 15.1 7,498 3.8 1,878 4.5%
2001 14.9 7,407 3.7 1,840 -3.1%
2002 15.4 7,614 4.0 1,974 1.5%
2003 16.0 7,918 4.9 2,441 2.2%
2004 17.2 8,527 5.7 2,810 4.7%
2005 18.6 9,289 6.3 3,120 4.7%
2006 20.2 10,123 6.9 3,440 5.1%
2007 22.1 11,134 8.3 4,204 6.5%
2008 23.7 12,039 9.9 5,027 5.5%
2009 23.8 12,148 9.4 4,799 -0.4%
2010 24.9 12,790 9.4 4,837 3.4%
2011 26.0 13,421 10.5 5,419 2.3%
2012 26.4 13,662 9.8 5,053 -0.5%
2013 27.6 14,354 10.8 5,629 2.9%
2014 29.1 15,175 11.4 5,933 3.6%
2015 30.5 15,949 10.1 5,264 3.9%
2016 31.7 16,612 10.7 5,605 2.8%
2017 32.6 17,161 11.3 5,971 1.1%
2018 34.9 18,460 12.7 6,720 2.9%
2019 37.9 20,223 12.6 6,720 3.9%
2020 37.1 19,962 12.4 6,673 -4.7%
2021 41.1 22,373 14.0 7,625 4.5%
2022 45.0 24,572 13.7 7,499 2.2%
2023 47.1 25,718 14.8 8,063 1.0%
2024 49.3 26,912 15.9 8,659 2.2%

References

[edit]
  1. ↑ "World Economic Outlook Database, April 2019". IMF.org. International Monetary Fund. Retrieved 29 September 2019.
  2. ↑ "World Bank Country and Lending Groups". datahelpdesk.worldbank.org. World Bank. Retrieved 29 September 2019.
  3. ↑ "Population on 1 January". ec.europa.eu/eurostat. Eurostat. Retrieved 13 July 2020.
  4. 1 2 3 4 5 6 7 8 "IMF DataMapper:North Macedonia". International Monetary Fund. 2026. Retrieved 13 January 2026.
  5. 1 2 3 "North Macedonia". Archived from the original on 15 January 2026.
  6. ↑ "International Monetary Fund". IMF.org. International Monetary Fund.
  7. ↑ "Laeken poverty indicators in 2020 -final data". Republic of North Macedonia - State Statistical Office. 6 May 2022. Retrieved 11 October 2022.
  8. ↑ "People at risk of poverty or social exclusion". ec.europa.eu/eurostat. Eurostat. Retrieved 26 December 2019.
  9. ↑ Europe Central Asia Economic Update, Spring 2020 : Fighting COVID-19. World Bank. 9 April 2020. pp. 63, 64. ISBN 9781464815645. Retrieved 9 April 2020 – via openknowledge.worldbank.org.
  10. ↑ "Laeken poverty indicators, 2024".
  11. 1 2 "Human Development Index (HDI)". hdr.undp.org. HDRO (Human Development Report Office) United Nations Development Programme.
  12. ↑ "Active Population in the Republic of North Macedonia, I quarter 2026".
  13. ↑ "Active population, first quarter 2026".
  14. ↑ "Active Population in the Republic of North Macedonia, IV quarter 2024".
  15. ↑ "Unemployment, youth total (% of total labor force ages 15-24)". World Bank Open Data. 2026. Retrieved 10 June 2026.
  16. ↑ "Average monthly gross wage paid per employee, May 2025". May 2025.
  17. ↑ "Average monthly gross wage paid per employee, May 2025". May 2025.
  18. 1 2 "Export partners of North Macedonia". The Observatory of Economic Complexity. Retrieved 4 February 2026.
  19. 1 2 "Import partners of North Macedonia". The Observatory of Economic Complexity. Retrieved 4 February 2026.
  20. 1 2 3 4 5 6 7 8 "The World Factbook". CIA.gov. Central Intelligence Agency. Archived from the original on 21 January 2021. Retrieved 11 March 2019.
  21. ↑ "Пад на државниот и јавниот долг во 2017 година, прв од 2009 година" [Decline of public and public debt in 2017, the first since 2009] (in Macedonian). Republic of Macedonia. Archived from the original on 12 April 2019. Retrieved 18 February 2018.
  22. ↑ "Sovereigns rating list". Standard & Poor's. Archived from the original on 29 March 2012. Retrieved 28 March 2014.
  23. 1 2 Rogers, Simon; Sedghi, Ami (15 April 2011). "How Fitch, Moody's and S&P rate each country's credit rating". The Guardian. Retrieved 31 May 2011.
  24. 1 2 Petrovska, Manja. "The crisis in North Macedonia runs deep". Al Jazeera. Retrieved 16 September 2025.
  25. ↑ "Macedonia's dispute with Greece ESI". European Stability Initiative.
  26. ↑ "Doing Business in Macedonia, FYR 2013". World Bank. Archived from the original on 23 October 2012. Retrieved 21 October 2012.
  27. ↑ Chiriac, Vuk Tesija, Azem Kurtic, Xhorxhina Bami, Eleni Stamatoukou, Fjori Sinoruka, Katarina Baletic, Marian (3 April 2025). "Balkan Countries Weigh Potential Damage Inflicted by Trump's Tariffs". Balkan Insight. Retrieved 16 September 2025.{{cite web}}: CS1 maint: multiple names: authors list (link)
  28. ↑ Македонскиот опиум бил најбаран и се извезувал во цел свет – еве зошто престанало производството (Macedonian opium was top quality and was exported all over the world. Here's why its production ceased.) 2013-07-05. Source of this publication is given as: Vladan Jovanovic (Владан Јовановиќ), „Македонски опиум: за финансиските и политичките размери на феноменот (1918-1941)“ (Macedonian opium: on the financial and political dimensions of the phenomenon), Годишњак за социјална историја (Yearbook of Social History), vol XVI no. 3, Belgrade, 2009, pp. 69–79.
  29. ↑ "Macedonia's Output Drops for Entire Year". February 2013. Retrieved 3 March 2015.
  30. ↑ "Macedonia PM Vows to Repay Private Sector Debt". 26 September 2012. Retrieved 3 March 2015.
  31. ↑ "Serbia, Bosnia Rank Low on Economic Freedom Index". 13 January 2012. Retrieved 3 March 2015.
  32. ↑ "State Statistical Office of the Republic of North Macedonia". www.stat.gov.mk (in Macedonian). Retrieved 23 July 2017.
  33. ↑ "Macedonia Unemployment Rate | Forecast | Chart". Archived from the original on 5 April 2016. Retrieved 20 May 2016.
  34. ↑ "Macedonia - Full Time Employment - Actual Data - Historical Charts". Archived from the original on 28 August 2016. Retrieved 24 August 2016.
  35. ↑ "Macedonia - Wages - Actual Data - Historical Charts". Archived from the original on 28 August 2016. Retrieved 24 August 2016.
  36. ↑ "AGRI-FOOD TRADE STATISTICAL FACTSHEET European Union — North Macedonia" (PDF). Directorate-General for Agriculture and Rural Development. 17 March 2020. Retrieved 25 May 2020.
  37. ↑ "Candidates in EU enlargement — Agriculture". European Commission. Retrieved 25 May 2020.
  38. ↑ "FAOSTAT - Crops and livestock products". Food and Agriculture Organization of the United Nations. 17 February 2022. Retrieved 11 October 2022.
  39. ↑ "Tourism in December 2019" (PDF) (in Macedonian). State Statistical Office. Retrieved 13 February 2020.
  40. ↑ "North Macedonian utility embraces solar at expense of coal". FocusTechnica. 25 September 2019. Retrieved 11 October 2022.
  41. 1 2 "Thermal Plants – AD ESM". ЕСМ. Retrieved 11 October 2022.
  42. ↑ "North Macedonia GDP and Economic Data". Global Finance Magazine. Retrieved 17 September 2025.
  43. 1 2 "Republic of North Macedonia Free Zones" (PDF). Directorate for Technological Industrial Development Zones. 10 May 2021. Archived from the original (PDF) on 7 February 2022. Retrieved 10 May 2021.
  44. ↑ "Report for Selected Countries and Subjects". IMF. Retrieved 25 January 2025.

Further reading

[edit]
  • Mattioli, Fabio (2020). Dark Finance: Illiquidity and Authoritarianism at the Margins of Europe. Stanford University Press. ISBN 978-1-5036-1294-5.
[edit]
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