Foreign direct investment during VMRO DPMNE is 3 times bigger than the SDSM’s period

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According to the latest data of the NBRM, foreign direct investment on cumulative basis from 2007-August to 2015 amounted to 2.3 billion euro and 1.5 billion euro more compared with FDI in the 10-year period the governments of SDSM. If one excludes the privatization of ESM in the amount of 225 million euro and sales of 10% of the shares of Macedonian Telecommunications amounting to 60 million euro, total FDI during all governments of SDSM was 768 million euro.

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Thus, FDI in the VMRO DPMNE period is 3 times bigger in terms of SDSM period (2.3 billion euro versus 768 million euro).

This is the result of Government policies to attract FDI. Over 30 green field investments made in recent years in new sectors that create higher added value and production, numerous employed and positively affect the increase in exports and contribute to higher economic growth. This means that in the past, the structure of FDI has improved since realized investments in the sectors of higher levels of technological development, unlike some countries in the region where FDI is mainly in real estate and concessions.

Unlike now, until 2006 there were no foreign direct green field investment. Then foreign investors in Macedonia entered through the process of privatization or acquisitions in the energy sector, telecommunications, banking and were present in the local market, but not to the external market.

Now, thanks to policies of the VMRO DPMNE to attract FDI in TIDZ and industrial zones, are working-known companies such as Johnson Matthey, Johnson Controls, Kemet Electronics, Van Hool, Drekselmajer, Schubert etc. These companies employ over 15,500 people. With the newly announced investments, this number in the coming years is expected to increase to over 33 thousand people.

According to the latest data, as of November 20, exports of the companies operating in TIDZ has exceeded 1.3 billion euro, or 36% of the total export of the Republic Macedonia. Vice Prime Minister and Finance Minister Zoran Stavreski recently said that thanks to FDI, Macedonia one of the few countries in the world that has surplus with Germany. According to the State Statistical Office as of September 2015, the trade surplus between Macedonia and Germany was 801.9 million euro and Macedonia exported goods worth 1,307 million euro in Germany and imported goods worth 505 million euro.

“Export is mirror of the competitiveness of the economy. Parts produced in Macedonia, in factories in the zones, are built into the latest German cars like Mercedes, BMW, Audi. Formerly, only exported agricultural products, that is the difference. This indicates that Macedonia competitive country at the foreign markets, said Stavreski.

Additionally if we analyze the total exports of Macedonia, according to the latest data from the State Statistical Office, may be noted that exports of machinery and transport equipment in the first nine months of the year were increased by even 27 percents compared to last year.

-In the last eight years we are committed to attracting FDI, whether green field investments or service industry like IT and thus created greater added value, improved the trade balance, attracted companies that are global brands from their industries, contributed to further improvement of the international image and brand of Macedonia, said Viktor Mizo, Director of Agency for Technological Industrial Development Zones.

By the end of the year is expected formalize the several investment decisions in Macedonia.