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In the focus РSУOБCРIИEКTАY

The Western Balkan, through an integration in and Association Agreement, our com-
the EU, would enter in a market of 500 million panies have almost full access to the
consumers of 7.5% of the world population, it large single market of the European
would fit in the economy with a contribution Union with no limitations and cus-
of 22.9% of the world GDP, followed by USA toms (except for some products for
with 22.3%, China with 11.5% and Russia with 2.8% which a separate or partially limited
(according to Eurostat, 2012). Therefore, the access to the EU market is agreed). In
EU integration for Macedonia would imply an the past period of more than ten years
entrance to a 25 times larger market, approxi- of development of trade relations,
mately five times higher standard of living nom- the trade of the Republic of Mace-
inally according to the GDP per capita, as well donia with the EU reached a level of
as a significantly lower unemployment rate. approximately 75% of the export and
approximately 45% of the import (or
the Republic of Macedonia as approx- about 56% of the total trade exchange
imately 36% of the average of EU-28 for 2014). At the same time, our legal
(that is, 4,127 Euros or approximately and institutional system continuously
10,000 Euros according to the level of adjusts to the EU law also in the part
purchasing power), which is a growth of free movement of goods, services,
of 10 percentage points compared to people and capital, including a wide
2002 (26%). Actually, the strategy of application of the European stan-
South East Europe 2020 stipulates dards. Our advantage are the benefits
increase of the standard of living of offered by the preferential treatment
the countries from the region, by ac- of our products in the Stabilization
celeration of the economic growth, and Association Agreement, the prox-
to raise the living standard from the imity of the market, the lower trans-
current level of 36% to 44% from the port costs and the possibility for eas-
EU average until 2020 according to ier connection of our companies with
GDP per capita; the goal is to double the European companies. However,
the exchange in foreign trade of the the lack of increased quality and safe-
countries from the region, and simul- ty of the products and the services
taneously to reduce the trade deficit. proportionally reduces the chances
Actually, according to the projections for survival in the domestic market
of the World Bank, Macedonia will as well. In this regard, what is excep-
reach the average at European level tionally important is the Agenda for
for a period of twenty years if it has connection of the Western Balkan
an annual growth of 4.5%, which is a region, both in terms of the informa-
significant acceleration compared to tion-communication technology and
the average economic growth of 3.25 the education. This would imply im-
in the past decade. provement of the corporate advantag-
es of the regional economy, however
Trade liberalization and also an increase of the effects of the
advantages for the economy economy of scale, which is actually an
improvement of the business climate
Thanks to the contractual and the through a reduction of costs and an
trade relations with the European improvement of the infrastructural
Union from 2001, with the coming conditions for the business.
into force of the Interim Trade Agree-
ment, that is, since 2004 with the Challenges for the business
coming into force of the Stabilization and the economy

Although there are great opportu-
nities for our companies, in addition
to investments by the country for the
creation of legal and institutional pre-

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