The government of North Macedonia has announced its most significant reform in the railway sector since its establishment, marking a pivotal shift toward modernization and infrastructure development. According to Vlado Nikоловski, the Deputy Prime Minister, this initiative includes the construction of new rail lines, procurement of new locomotives, and expansion of passenger services. The reform is backed by a grant of one million euros from the World Bank, which aims to support restructuring efforts within the state-owned company MŽ Transport. This move comes as part of broader European Union initiatives aimed at transforming the country’s transportation network under the EU Growth Plan.
Nikоловski emphasized that the current administration has made upgrading and modernizing MŽ Transport a top priority. He noted that legal amendments have already been enacted to prevent the closure of the transport company, which had previously been threatened by decisions made by the previous government. Initial results of these reforms are already visible, with positive statistics recorded in the first four months of the year. Notably, there has been a rise in both passenger numbers and cargo traffic, indicating a successful start to the transformation process.
In addition to the World Bank grant, parallel agreements have been signed with another financial institution for the purchase of electric locomotives. These locomotives are crucial for the development of freight transport and are expected to include at least five units. Nikоловski also outlined plans for major investments in urban rail systems, including the completion of the first phase of the Skopje Metro line, which was completed last January and put into operation jointly with Bulgaria. Construction on the second phase, connecting Ilinden to the New Railway Station, and the third phase linking Gjorce Petrov to the New Railway Station, is currently underway. These projects are anticipated to be completed by late 2027 or early 2028.
The Deputy Prime Minister further highlighted ongoing work on the Western Wing of Corridor 8, a strategic route that would connect Skopje to Jegunovce, Tetovo, Gostivar, Kicevo, Ohrid, Struga, and eventually link to Albania. Additionally, preparations are underway for the high-speed rail project along Corridor 10, where necessary documents have already been finalized. These developments collectively form a comprehensive vision for the complete transformation of the national railway system, supported by continued assistance from the World Bank.
In a separate but related development, the Ministry of Culture and Tourism has presented its achievements over the past two years, focusing on stabilizing the cultural and tourism sectors through systemic reforms and substantial investments. Minister Zoran Ljutkov highlighted the implementation of strategic planning, legal reforms, financial stabilization, and capital investments aimed at making culture and tourism strategic drivers of national development. Upon taking office in 2024, the ministry inherited a debt of 273 million denars based on salaries in national and local institutions, alongside an institutional framework lacking clear strategic directions. Through initial budget rebalancing, funds were secured to service existing obligations, with additional allocations for program activities and infrastructure projects in municipalities.
Key initiatives include the drafting of National Strategies for Cultural Development, Intangible Cultural Heritage, and Tourism Development, alongside preparatory work on amendments to several systemic laws in the cultural domain. A new model of delegated budgets has been introduced in national institutions, applied in 28 organizations this year, enhancing autonomy and efficiency in public fund management. Funding for the Annual Cultural Program increased significantly, rising from 768 million denars in 2023 to 1.071 billion denars in 2026—a nearly 40 percent increase. Simultaneously, revenues generated by national institutions have grown by more than 150 percent compared to 2023.
Over the past two years, 320 new hires and 35 promotions have been realized in national institutions, while an open mobility competition has been established for cultural workers to gain training abroad. After seven years, the Creative Industries Competition has been revived, supporting 108 projects over two years and initiating a nationwide mapping of creative industries to inform the first national strategy in this area. Artworks have also seen renewed investment, with 37 pieces from notable Macedonian artists acquired at a value of 6.6 million denars.
In the film industry, funding for the Film Agency has risen from 100 million denars in 2024 to 187 million denars in 2026—an 87 percent increase—while legal changes will ensure additional resources from gambling proceeds to boost domestic film production. Capital investments have surged from 230 million denars in 2023 to 485 million denars in 2026, representing an over 110 percent growth. Several capital projects are either being implemented or nearing completion, including the theater in Strumica, reconstruction of the "Partizan" cinema in Bitola, new spaces for the Jazz Orchestra, and renovations of the Macedonian National Theater and Universal Hall, among other cultural sites across the country.
Efforts to protect cultural heritage have intensified through investments in archaeological sites, reconstruction of cultural monuments, continuation of the restoration project for the University of Saint Clement of Ohrid in Plaosnik, and the establishment of a national digital register of intangible cultural heritage. International cooperation has also received increased funding, allowing for stronger international affirmation and presentation of Macedonian culture.
These multifaceted developments underscore the government's commitment to revitalizing both the physical and cultural landscapes of the nation, aiming to position North Macedonia as a dynamic player in regional and global contexts. With ongoing projects and strategic planning, the future looks promising for both the railway system and the broader cultural and tourism sectors.
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