A new landmark Partnership for Sustainable Development in North Macedonia: French Development Agency (AFD) provides €50 million for green and social investments

AFD and DBNM have marked a significant milestone in support to green transition in North Macedonia. On December 21st, in Skopje, both institutions, together with the Ministry of Finance of North Macedonia, signed a pivotal €50 million financing package, bolstering the nation's efforts towards green and social investments.

Under the terms of this groundbreaking agreement, AFD extends substantial financial support to DBNM for funneling into transformative projects. These investments will focus on reducing greenhouse gas emissions, boosting energy efficiency, and fostering digital transformation among SMEs, especially those led by or serving women.

Recognizing the urgent need for steering business actors to decarbonize the economy, the partnership established between AFD and DBNM is a proactive step to accelerate the shift towards a resilient and low-carbon economic model in North Macedonia. The agreement is complemented by a €0.4 million technical cooperation grant, managed by AFD, to back the implementation process and enhance the capacity of DBNM and its partner financial institutions in sustainable finance.

The signing ceremony, held in the presence of Mr. Fatmir Besimi, Minister of Finance of North Macedonia, Mr. Kire Naumov, CEO of DBNM, the French Ambassador to North Macedonia, Mr. Cyrille Baumgartner, and Mr. Mathieu Vasseur, AFD's Regional Director for Eurasia, signifies more than a financial transaction. It marks the commencement of AFD Group's long-anticipated engagement in North Macedonia. 

Minister Besimi reflected on the significance of the partnership: "This groundbreaking collaboration with AFD marks a milestone in our journey towards sustainable economic and social advancement. It's not just a financial investment; it's a step forward in fostering a robust partnership between our nations, catalyzing growth and innovation in key sectors. This €50 million package is strategically aimed at empowering environmental stewardship, tackling climate change effects, enhancing female entrepreneurship, and driving forward digital transformation. This aligns seamlessly with our European ambitions, propelling regional integration, and furthering our goals in ecological transition, economic development, and social cohesion. AFD’s support is instrumental in diversifying our cooperation across vital sectors like energy, health, education, agriculture, and urban development, fortifying our path towards EU integration."

Kire Naumov, Executive Director of DBNM, expressed his enthusiasm: "This long-term oriented collaboration with AFD heralds a new era for DBNM, enabling us to enhance our role in fostering a climate finance offer and driving innovative, inclusive growth within the private sector. We are excited to embark on this journey, which aligns perfectly with our strategic goals to develop the Macedonian economy, in line with best practices."

Cyrille Baumgartner, the French Ambassador to North Macedonia, added, "Today's agreement is a vivid illustration of the deepening cooperation between France and North Macedonia. It reflects our shared commitment to sustainability and inclusive growth. This initiative not only strengthens our bilateral ties but also showcases our joint dedication to addressing global environmental challenges and fostering economic resilience. France, through AFD, is proud to be part of North Macedonia’s journey towards a greener and more digital future, reinforcing the values and objectives we uphold within the European Union."

Mathieu Vasseur shared his optimism about the partnership: "The initiation of this program with DBNM is a testament to AFD's commitment to supporting sustainable development goals and the Paris Agreement. Our collaboration is a concrete step towards fulfilling these global commitments, and we eagerly anticipate playing a pivotal role in North Macedonia's journey towards ecological and economic transformation."

 

Press contact :afdbalkans@afd.fr