North Macedonia

North Macedonia's energy supply depends on hydropower, which means that few emissions are produced. However, many hydropower plants are outdated and are in need of modernisation. One of the goals set by the government of North Macedonia is to further expand and diversify the use of renewable energy sources. On behalf of the German Federal Government, KfW Development Bank is supporting Macedonia in a pilot project to construct the first wind farm in Macedonia. Six hydropower plants have been modernised to significantly increase capacity and energy efficiency.

Project information - Wind power

North Macedonia's infrastructure was neglected for many years, which led to shortages in the supply of clean drinking water. Sewage disposal does not meet environmental standards: it is often drained directly into rivers and lakes. Most municipal utility companies do not operate profitably and are not able to raise funding for the necessary investments. KfW Development Bank is helping North Macedonia modernise its water and sewage systems.

One of the greatest challenges facing the young country of Nrth Macedonia is the high unemployment rate of more than 30 %. In a situation like this, it is important to promote small and medium-sized enterprises (SMEs). This is why cooperation aims to give small businesses access to loans and other financial services, even when times are tough economically. As part of the collaboration with the Macedonian Bank for Development Promotion, loans are made available to selected commercial banks which they then pass on to SMEs at market conditions. This strategy has both secured and created several thousand jobs. KfW also had a hand in the formation of the ProCredit Bank Skopje AD, which specialises in loans for small companies.