Dimitrieska-Koçoska: The budget rebalancing aligns the budget with economic realities and ensures its sustainability

Finance Minister Gordana Dimitrieska-Koçoska presented the Proposal for Amendments and Supplements to the 2026 Budget to members of the Committee on Financing and Budget today. The document provides for the adjustment of budget projections to reflect new economic conditions, the results achieved during the year and the actual pace of expenditure execution.

During her presentation, the minister said the second budget rebalancing was a necessary response to uncertainty in the global economy, geopolitical tensions and fluctuations in energy markets, all of which affect economic developments and budget revenues.

“With the second rebalancing of the 2026 Budget, we are aligning the projections with actual economic developments, implementation to date and the effects of the measures undertaken during the year. This is a responsible approach in conditions of uncertainty: correcting projections where reality requires it, reducing expenditure where there is room for rationalization, while at the same time preserving funds for legal obligations, health services, social protection and priority development projects,” Dimitrieska-Koçoska emphasized.

Under the proposed amendments, total budget revenues will amount to 374.2 billion denars, or around 5.3 billion denars less than the previous projection. Total expenditure is being reduced by the same amount and is planned at 420.5 billion denars. Meanwhile, the budget deficit remains at 46.3 billion denars, equivalent to 4.1% of GDP.

Economic growth for 2026 continues to be projected at 3.5%.

Among the revenue items, the largest change concerns excise duties, which have been revised down from 34.1 billion to 30.4 billion denars. This reduction is the result of measures to lower excise duties on fuel. As for expenditure, the rebalancing aims to ensure more rational and efficient use of public funds.

A reduction is also projected in capital expenditure due to postponed deadlines for the implementation of several projects and lower revenues from own sources, donations and loans.