A new World Bank Group analysis says North Macedonia could speed up growth and add better-paid jobs if a focused reform agenda is adopted. The study outlines how upgrades to governance, support for the private sector and expanded skill-building could raise living standards across the country.
The report warns that, without any reforms, average growth will slip to about 2.4 per cent per year by 2050, leaving the gap with EU incomes wide.
Conversely, a full reform package could lift growth to 3.8 per cent, generate an extra 53,000 jobs for the unemployed and raise wages for roughly 196,000 workers already employed.
“North Macedonia’s economic journey since independence is a success story. The question now is how to build on that foundation,” said Carole Megevand, World Bank Group country manager for Kosovo and North Macedonia. She emphasized that targeted policy changes can translate into measurable gains for households and businesses.
The study identifies three priority reform areas: strengthening economic governance and competition, accelerating technology adoption and energy efficiency, and expanding workforce skills while reducing labor-market barriers. Each pillar is presented as a lever that can unlock additional private-sector activity.
Improving governance means making public spending more efficient, creating a level playing field for firms, tightening oversight of state-owned enterprises and upgrading trade policy and logistics networks.
The second pillar calls for faster uptake of digital tools, innovation and energy-saving measures, aiming to boost firm productivity and support the country’s green transition.
The final focus is on skills development, including higher female labour participation, smoother school-to-work pathways for youth, expanded lifelong learning and fewer barriers to hiring.
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