OR North Macedonia borrowed another 500 million euros from Hungary. The relevant agreement was signed today in Budapest by the Minister of Finance of North Macedonia, Gordana Dimitrieska-Kotsoska, with a representative of the Hungarian Export-Import Bank.

As reported by the government of North Macedonia, this new loan of 500 million euros from Hungary will be allocated for the repayment of a Eurobond issued by the country in 2018 and which expires on January 25, 2025.

The disbursement of the amount from this new loan will take place on January 9 or 10, 2025, as the Finance Minister of North Macedonia said.

Last October, North Macedonia borrowed 500 million euros from Hungaryof which 250 million euros are intended to finance businesses in the country and the other 250 million euros to the municipalities of the country to finance municipal projects.

These two loans, totaling one billion euros, the prime ministers of North Macedonia, Christian Mickoski, and Hungary, Viktor Orban, had agreed during their meeting last July in Washington, on the sidelines of the NATO Summit.

The interest rate of these two loans amounts to 3.25%, with a three-year grace period and repayment in 15 years.

The finance minister of North Macedonia stated that the country turned to Hungary for this loan and not to the international markets, because in the second case the interest rate would rise to at least 6% and the terms would not be so favorable, as she said.

Since the right-wing VMRO-DPMNE of Christian Mickoski took over the governance of North Macedonia (in June 2024), the country has turned to Hungary, both for political and financial support. The Prime Minister of North Macedonia, Christian Mickoski and his party VMRO-DPMNE maintain very close relations with the Prime Minister of Hungary, Viktor Orbán and his party Fidesz.

Viktor Orban, whose country holds the rotating presidency of the EU for the current semester, paid a visit to North Macedonia at the end of September, where he received a warm welcome from the latter’s prime minister, Christian Mickoski, who called him a great friend of his country and strong supporter of its European course.