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Macedonia gained its independence peacefully from Yugoslavia in 1991, but Greece's objection to the new state's use of what it considered a Hellenic name and symbols delayed international recognition, which occurred under the provisional designation of "the Former Yugoslav Republic of Macedonia." In 1995, Greece lifted a 20-month trade embargo and the two countries agreed to normalize relations. The United States began referring to Macedonia by its constitutional name, Republic of Macedonia, in 2004 and negotiations continue between Greece and Macedonia to resolve the name issue. Some ethnic Albanians, angered by perceived political and economic inequities, launched an insurgency in 2001 that eventually won the support of the majority of Macedonia's Albanian population and led to the internationally-brokered Framework Agreement, which ended the fighting by establishing a set of new laws enhancing the rights of minorities. Fully implementing the Framework Agreement and stimulating economic growth and development continue to be challenges for Macedonia, although progress has been made on both fronts over the past several years.
party to: Air Pollution, Biodiversity, Climate Change, Climate Change-Kyoto Protocol, Desertification, Endangered Species, Hazardous Wastes, Law of the Sea, Ozone Layer Protection, Wetlands
signed, but not ratified:
none of the selected agreements
adopted 17 November 1991, effective 20 November 1991; amended November 2001 and in 2005
note:amended November 2001 by a series of new constitutional amendments strengthening minority rights and in 2005 with amendments related to the judiciary
chief of state: President Gjorge IVANOV (since 12 May 2009)
head of government:
Prime Minister Nikola GRUEVSKI (since 26 August 2006)
cabinet:
Council of Ministers elected by the majority vote of all the deputies in the Assembly; note - current cabinet formed by the government coalition parties VMRO/DPMNE, BDI/DUI, and several small parties
elections:
president elected by popular vote for a five-year term (eligible for a second term); two-round election: first round held 22 March 2009, second round held 5 April 2009 (next to be held in March 2014); prime minister elected by the Assembly following legislative elections
election results:
Gjorge IVANOV elected president on second-round ballot; percent of vote - Gjorge IVANOV 63.14%, Ljubomir FRCKOSKI 36.86%
unicameral Assembly or Sobranie (120 seats; members elected by popular vote from party lists based on the percentage of the overall vote the parties gain in each of six electoral districts; members serve four-year terms)
elections:
last held 1 June and 15 June 2008 (next to be held by July 2012)
election results:
percent of vote by party - VMRO-DPMNE-led block 49%, SDSM-led block 24%, BDI/DUI 13%, PDSh/DPA 8%, other 6%; seats by party - VMRO-DPMNE-led block 63, SDSM-led block 27, BDI/DUI 18, PDSh/DPA 11, PEI 1
Democratic Alliance [Pavle TRAJANOV]; Democratic League of Bosniaks [Rafet MUMINOVIC]; Democratic Party of Albanians or PDSh/DPA [Menduh THACI]; Democratic Party of Serbs [Ivan STOILJKOVIC]; Democratic Party of Turks [Kenan HASIPI]; Democratic Renewal of Macedonia [Liljana POPOVSKA]; Democratic Union of Albanians or BDSh [Bardyl MAHMUTI]; Democratic Union of Vlachs for Macedonia [Mitko KOSTOV]; Democratic Union for Integration or BDI/DUI [Ali AHMETI]; For a Better Macedonia coalition [Nikola GRUEVSKI] (includes VMRO-DPMNE, SP, Democratic Union, Democratic Renewal of Macedonia, Democratic Party of Turks, Democratic Party of Serbs, SR, and smaller parties); Internal Macedonian Revolutionary Organization-Democratic Party for Macedonian National Unity or VMRO-DPMNE [Nikola GRUEVSKI]; League for Democracy [Gjorgi MARJANOVIC]; Liberal Democratic Party or LDP [Jovan MANSIEVSKI]; Liberal Party [Stojan ANDOV]; National Alternative [Harun ALIU]; National Democratic Union or BDK [Hysni SHAQIR]; New Democracy of DR/ND [Imer SELMANI]; New Social Democratic Party or NSDP [Tito PETKOVSKI]; Party for Democratic Prosperity or PPD/PDP [Sefedin HARUNI]; Party for European Future or PEI [Fijat CANOSKI]; Party of Free Democrats or PSD [Ljubco JORDANOVSKI]; Social Democratic Alliance of Macedonia or SDSM [Zoran ZAEV]; Socialist Party of Macedonia or SP [Ljubisav IVANOV-ZINGO]; Sun-Coalition for Europe [Radmila SKERINSKA] (includes SDSM, NSDP, LDP, Liberal Party and smaller parties); Union of Romas or SR [Shaban SALIU]; United Party for Emancipation or OPE [Nezdet MUSTAFA]
Federation of Free Trade Unions [Svetlana PETROVIC]; Federation of Trade Unions [Vanco MURATOVSKI]; Trade Union of Education, Science and Culture [Dojcin CVETANOSKI]; World Macedonian Congress [Todor PETROV]
Having a small, open economy makes Macedonia vulnerable to economic developments in Europe and dependent on regional integration and progress toward EU membership for continued economic growth. At independence in September 1991, Macedonia was the least developed of the Yugoslav republics, producing a mere 5% of the total federal output of goods and services. The collapse of Yugoslavia ended transfer payments from the central government and eliminated advantages from inclusion in a de facto free trade area. An absence of infrastructure, UN sanctions on the downsized Yugoslavia, and a Greek economic embargo over a dispute about the country's constitutional name and flag hindered economic growth until 1996. GDP subsequently rose each year through 2000. In 2001, during a civil conflict, the economy shrank 4.5% because of decreased trade, intermittent border closures, increased deficit spending on security needs, and investor uncertainty. Growth averaged 4% per year during 2003-06 and more than 5% per year during 2007-08. Macedonia has maintained macroeconomic stability with low inflation, but it has so far lagged the region in attracting foreign investment and creating jobs, despite making extensive fiscal and business sector reforms. Official unemployment remains high at nearly 35%, but may be overstated based on the existence of an extensive gray market, estimated to be more than 20% of GDP, that is not captured by official statistics. In the wake of the global economic downturn, Macedonia has experienced decreased foreign direct investment, lowered credit, and a slowdown of export growth. The Government of Macedonia now predicts growth in 2009 to be no more than 3%.
general assessment: competition from the mobile-cellular segment of the telecommunications market has led to a drop in fixed-line telephone subscriptions
domestic:
combined fixed line and mobile telephone subscribership approaching 150 per 100 persons
Army of the Republic of Macedonia (ARM): Joint Operational Command, with subordinate Air Wing (Makedonsko Voeno Vozduhoplovstvo, MVV), Special Operations Regiment (2009)
Kosovo and Macedonia completed demarcation of their boundary in September 2008; Greece continues to reject the use of the name Macedonia or Republic of Macedonia
major transshipment point for Southwest Asian heroin and hashish; minor transit point for South American cocaine destined for Europe; although not a financial center and most criminal activity is thought to be domestic, money laundering is a problem due to a mostly cash-based economy and weak enforcement
The online Factbook is updated bi-weekly. ISSN 1553-8133
For additional information on government leaders in selected foreign countries, go to World Leaders.
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