🎧 Listen to This Article
North Macedonia’s Ministry of Finance has introduced a series of legal initiatives to reinforce the country’s financial regulatory framework, focusing on ensuring greater public trust in the banking system and supporting long-term economic resilience.
Finance Minister Gordana Dimitrieska-Kochoska outlined the reforms in the April edition of the Macedonian Banking Association’s E-Bulletin, highlighting the adoption of a new Bank Resolution Law as the cornerstone of the government’s strategy.
“The Bank Resolution Law marks a major step forward in strengthening our regulatory framework,” Dimitrieska-Kochoska said. “It will allow for timely intervention in troubled credit institutions, helping to safeguard financial stability and preserve public confidence while ensuring continuity of critical banking functions and protecting depositors.”
The law, which is expected to take effect in the final quarter of 2025, introduces a comprehensive set of procedures, tools, and responsibilities for resolving failing banks. It empowers the National Bank of the Republic of North Macedonia (NBRNM) to lead resolution efforts and mitigate the risk of insolvency without resorting to taxpayer-funded bailouts.
“A key objective is to avoid public sector rescues of banks,” the minister noted. “State aid will only be deployed in exceptional cases once all other options have been exhausted.”
The law also establishes a Bank Resolution Fund, managed by the NBRNM, which will finance resolution actions when needed. The initiative is aligned with EU regulatory standards, introducing market discipline and trust while advancing North Macedonia’s financial supervision practices.
In addition to the Resolution Law, the Ministry plans to propose a new Banking Law later this year. The proposed legislation is designed to bolster banks’ risk management capabilities and improve their ability to absorb potential losses, thereby strengthening the quality of capital and supervisory practices across the sector.
Dimitrieska-Kochoska also emphasized the critical role of the NBRNM in all reforms and highlighted recent amendments that further reinforce the central bank’s independence and regulatory authority.
The minister concluded by reaffirming the banking sector’s role in supporting government policy, particularly the rollout of €250 million in favorable credit lines for domestic enterprises.
For further details, clarification, contributions, or any concerns regarding this article, please get in touch with us at editorial@tax.news. We value your feedback and are committed to providing accurate and timely information. Please note that our privacy policy will handle all inquiries.
