In its latest report on the economic prospects of Western Balkan countries, the European Bank for Reconstruction and Development (EBRD) forecasts a 4% growth of the Macedonian economy in 2021 and 2022.
“A recovery is underway in North Macedonia, with growth driven by both domestic and external demand. Household consumption grew strongly, supported by increasing wages, credit growth and remittances (albeit still at relatively low levels compared with other regional economies). Exports of goods increased in both value and volume terms, in tandem with imports, driven by the recovery in the EU. The economy is forecast to grow by 4.0 per cent in both 2021 and 2022,” the report reads.
According to EBRD, a recovery is underway in North Macedonia following four consecutive quarters of negative growth between the second quarter of 2020 and the first quarter of 2021.
However, it adds, this growth largely reflects reinvested earnings and debt instruments, and the share of new equity is very low.