VIENNA: The OPEC Fund for International Development (OFID) is supporting a multi-sector reform programme in North Macedonia with a pound 50 million loan. The funding will bolster the climate transition of the energy and financial sectors and strengthen sustainable public finances.
The OPEC Fund’s policy-based lending will be complemented by a US$100 million Development Policy Operation from the World Bank.
The government of North Macedonia has launched a comprehensive reform programme towards climate transition to improve efficiency and boost investments in renewable energy.
The reform programme aims to get North Macedonia back on track by strengthening public financial management and safeguarding the financial sector’s stability.
OPEC Fund Director-General Abdulhamid Alkhalifa, who signed the loan on behalf of the institution, said, “We are very pleased to launch our public sector cooperation with the authorities of North Macedonia with this first sovereign loan in the country. Our funding demonstrates o
ur strong belief in the government’s reform programme as well as our readiness to support its implementation. Promoting climate transition means future-proofing the country’s economic and ecological system.”
Fatmir Besimi, Minister of Finance of North Macedonia, stated, “This loan in support of the Sustainability and Resilience Programme will considerably boost our efforts towards the climate transition, while enhancing the stability and sustainability of our public finances.”
The funding will support the climate transition of the energy and financial sectors through improving energy efficiency, boosting renewable energy investments and increasing awareness and management of the impact of climate change. It will also strengthen the sustainability of public finances by safeguarding financial sector stability.
As part of the programme, the authorities will also address issues such as fiscal sustainability and reinforcement of payment discipline in line with EU directives. The strengthening of the institution
al framework is expected to bolster macroeconomic growth.
Source: Emirates News Agency