AGP Executive Report

Energy & Trade: Kosovo and North Macedonia state energy firms signed a three-year coal deal for about 3 million tonnes from Obiliq mine, priced at €24.40 per tonne, aimed at supporting roughly 800 GWh of extra electricity annually once a contractor is selected. Diplomacy & Business Climate: North Macedonia named career diplomat Krum Efremov as its new ambassador to Bulgaria, with Skopje stressing ongoing dialogue on issues tied to North Macedonia’s EU integration. Cross-border Mobility & Logistics: Bulgaria reported heavy traffic at Kapitan Andreevo (outbound trucks) and Kalotina (outbound cars) border checkpoints, while other crossings were normal—an operational reminder for regional trade flows. Sanctions Compliance: EU welcomed eight non-EU countries, including North Macedonia, aligning with new Belarus sanctions covering goods/tech, revenue restrictions, and expanded crypto-asset limits. Regional Labor Markets: A study flagged North Macedonia’s employment rate at 64.4% (among the lowest in the EU comparison set), alongside broader workforce pressure trends across the region. Media & Digital Economy: A youth-led platform in North Macedonia is turning anonymous student complaints into a Digital Student Voice system, aiming to surface recurring higher-education problems. Corporate/Legal Risk: An international “Sapphire Network” scam allegedly used call centers in Bulgaria, Ukraine, Cyprus, North Macedonia and Israel to launder money and target Australians with fake AI trading platforms.

CineLink Industry Days & Film Funding: The 24th CineLink Industry Days at the 32nd Sarajevo Film Festival handed out €131,000 in cash prizes plus €60,000 in kind, with North Macedonia-linked projects among the winners, including “The Taste of the Peach” (Labina Mitevska; co-production involving North Macedonia) and broader Eurimages-backed development awards that keep regional screen production money flowing. Diplomacy & EU Alignment: North Macedonia joined eight non-EU countries aligning with the EU’s latest Belarus sanctions, extending restrictions that also touch crypto-asset-related business activity. Energy Trade: Kosovo and North Macedonia state energy firms signed a three-year coal deal for about 3 million tonnes from Obiliq mine at a fixed €24.40 per tonne, aimed at supporting additional power generation. Labour & Migration Pressure: A regional shift is underway as Balkan countries increasingly recruit Asian workers to offset shrinking workforces, while North Macedonia’s labour market is flagged among the lower employment-rate performers in Europe. Border & Logistics: Heavy traffic was reported at the Kapitan Andreevo (outbound trucks) and Kalotina (outbound cars) checkpoints, a reminder of how cross-border flow can affect trade timing.

EU Sanctions Alignment: North Macedonia is among eight non-EU countries that agreed to align with the EU’s latest Belarus sanctions, expanding limits on military/tech goods and tightening curbs on Belarus-linked crypto-asset business. Energy Trade: Kosovo and North Macedonia state energy firms signed a three-year coal deal for about 3 million tonnes from Obiliq mine at €24.40 per tonne, aimed at boosting power generation. Diplomacy & Business Links: Career diplomat Krum Efremov was named North Macedonia’s new ambassador to Bulgaria, with Skopje stressing ongoing dialogue on European integration issues. Labour Market Pressure: A study flags North Macedonia’s employment rate at 64.4% (below the EU average), while Hungary saw the steepest employment decline in Europe. Regional Transport: Heavy outbound traffic was reported at Bulgaria’s Kapitan Andreevo (trucks) and Kalotina (cars) border checkpoints, while other crossings were normal. Student Economy & Governance: A new “Digital Student Voice” platform lets students anonymously report recurring problems in higher education and student life, turning inbox complaints into a clearer picture of systemic issues. Film & Media Economy: North Macedonian filmmaker Teona Mitevska is preparing a sequel to “God Exists, Her Name Is Petrunya,” while Igor Aleksov has started shooting “The Secret of the Bare Hill.”

Foreign Policy & EU Alignment: North Macedonia is among eight non-EU countries agreeing to align with the EU’s latest sanctions against Belarus, expanding restrictions on military/tech goods and crypto-asset involvement. Energy Trade: Kosovo and North Macedonia state energy firms signed a three-year coal deal for about 3 million tonnes from Obiliq at €24.40 per tonne, aimed at boosting power generation (about 800 GWh/year) once a contractor is selected. Diplomacy: Career diplomat Krum Efremov has been named North Macedonia’s new ambassador to Bulgaria, with Skopje stressing ongoing dialogue on issues tied to EU integration. Cross-Border Logistics: Heavy traffic was reported at the Kapitan Andreevo (outbound trucks to Türkiye) and Kalotina (outbound cars to Serbia) border checkpoints, while other crossings were normal. Regional Labor Market: A study flags North Macedonia’s employment rate at 64.4% (among the lowest in Europe), alongside broader workforce pressures across Central and Southeastern Europe. Media & Business Environment: Serbia’s Adria News Network management was preliminarily taken over by Alpac Capital-linked directors ahead of regulator approval, raising concerns for newsroom sustainability. Renewables & Infrastructure: In the Sar Mountain National Park, dismantling of unused small hydropower infrastructure (Pena 84/85) is underway to restore disturbed nature.

Energy Trade: Kosovo and North Macedonia’s state energy firms signed a three-year coal deal for about 3 million tonnes from Obiliq mine, priced at €24.40 per tonne, aimed at boosting North Macedonian power generation by roughly 800 GWh a year once a contractor is selected. Diplomacy & Business Ties: North Macedonia named career diplomat Krum Efremov as its new ambassador to Bulgaria, with Skopje stressing ongoing dialogue on issues tied to EU integration and economic cooperation. EU Sanctions Compliance: EU welcomed eight non-EU countries—including North Macedonia—aligning with the bloc’s latest Belarus sanctions, expanding restrictions on military-relevant goods and technology and tightening rules around EU-based crypto-asset business. Labor Market Snapshot: An ILO-based comparison put North Macedonia ahead of Albania on labor productivity per hour worked (North Macedonia $34 vs Albania $18.7), highlighting the role of technology, skills, and economic structure. Border & Logistics: Heavy traffic was reported at Türkiye-bound Kapitan Andreevo and Serbia-bound Kalotina checkpoints, while other crossings were normal. Environment & Renewables: In Sar Mountain National Park, infrastructure from two stalled small hydropower projects (Pena 84/85) is being dismantled to restore the disturbed river landscape. Corporate/Media Risk (Region): Serbia’s bank profits and a management takeover at Adria News Network raise questions about how money and control can shape business and media sustainability across the Balkans.

Belarus Sanctions Alignment: North Macedonia will align with the EU’s latest restrictive measures against Belarus, joining Albania, Bosnia, Iceland, Liechtenstein, Montenegro, Norway and Ukraine—expanding limits on military/tech goods and adding broader curbs on Belarus’s involvement in EU-based crypto-asset businesses. Energy Trade: Kosovo and North Macedonia state energy firms signed a three-year coal deal for about 3 million tonnes from Obiliq mine, priced at €24.40 per tonne, to support additional power generation in North Macedonia. Diplomacy & Economic Links: Career diplomat Krum Efremov was named North Macedonia’s new ambassador to Bulgaria, with Skopje stressing ongoing dialogue on issues tied to EU integration. Border & Logistics: Heavy outbound truck traffic was reported at Kapitan Andreevo (Türkiye) and heavy outbound car traffic at Kalotina (Serbia), while crossings with Romania and Greece were normal. Renewables vs Environment: In Sar Mountain National Park, dismantling of installed infrastructure for two planned small hydropower plants (Pena 84 and Pena 85) is underway after earlier hydropower plans were scrapped. Food Safety: Bulgaria’s Food Safety Agency found formetanate pesticide residues above the permitted level in an 11.6-tonne pepper shipment from North Macedonia and ordered it returned to the supplier.

Energy Trade: Kosovo and North Macedonia’s state energy firms signed a three-year coal deal for about 3 million tonnes from the Obiliq mine, priced at €24.40 per tonne, to support roughly 800 GWh of extra electricity annually once a contractor is selected. EU Sanctions Compliance: Eight non-EU countries, including North Macedonia, agreed to align with the EU’s expanded sanctions against Belarus, tightening limits on military- and revenue-linked goods and broadening crypto-asset restrictions while keeping exemptions for public internet infrastructure. Diplomacy & Business Links: Career diplomat Krum Efremov was named North Macedonia’s new ambassador to Bulgaria, with Skopje stressing ongoing dialogue on issues tied to European integration and cooperation. Cross-Border Food Safety: Bulgaria’s Food Safety Agency ordered the return of an 11.6-tonne pepper shipment from North Macedonia after formetanate residues exceeded permitted levels, with intensified border checks continuing. Media Market Watch: Serbia’s Adria News Network management was preliminarily taken over via director changes ahead of a planned owner approval process, raising concerns about newsroom sustainability even without formal editorial changes. Renewables vs Nature: In North Macedonia’s Sar Mountain National Park, dismantling of infrastructure tied to two uncompleted small hydropower projects (Pena 84/85) is underway to restore disturbed river ecosystems. Tourism & Safety: A report on Albania’s tourism risks points to high-end nightlife venues operating outside normal legal and safety standards, highlighting the need for proper safety licensing—relevant for regional operators. Regional Growth Context: Albania’s economy grew 3.71% in Q1 2026, outpacing the Western Balkans average, while North Macedonia’s growth was cited at 3.1% for the same period.

Regional Growth Watch: Albania’s economy expanded 3.71% in Q1 2026, outpacing the Western Balkans average (3.3%) and the EU (0.7%); Montenegro grew 3.69%, Serbia 3.2%, while North Macedonia posted 3.1% and Bosnia and Herzegovina lagged at 1.9%. Trade & Compliance: Bulgaria’s Food Safety Agency found formetanate pesticide residues above the permitted level in an 11.6-tonne shipment of peppers imported from North Macedonia, ordering the goods returned before entering the Bulgarian market. Energy Solidarity: North Macedonia’s Rade Koncar delivered power transformers to Ukraine’s Kharkiv and Zaporizhzhia regions to help restore infrastructure hit by Russian attacks. Business/Tech Angle: UNICEF and partners are pushing “Universal Basic Compute,” using identity verification to ensure AI capacity reaches eligible citizens, schools, clinics and small businesses. Environment vs Power: In Sar Mountain National Park, dismantling of leftover infrastructure from two uncompleted small hydropower plants (Pena 84/85) is underway to restore the disturbed valley. Local Talent Pipeline: New Raiders centre back Richard Brown starts a 15-day trial with FK Skopje, part of the club’s push after promotion.

Food Safety & Trade: Bulgaria’s Food Safety Agency ordered the return of an 11.6-ton shipment of North Macedonian peppers after formetanate pesticide residues were found above permitted levels, with intensified border checks continuing at key checkpoints. Energy & Industry: North Macedonia’s Rade Koncar delivered power transformers to energy companies in Ukraine’s Kharkiv and Zaporizhzhia regions to help restore infrastructure hit by Russian attacks. Environment & Renewables: In Sar Mountain National Park, dismantling has begun on leftover infrastructure from two planned small hydropower plants (Pena 84 and Pena 85), as authorities move to restore the disturbed valley. Regional Business Climate: Serbia’s banks posted record 2025 profits, lifting sector returns and prompting debate over whether margins are too high as lending growth accelerates. EU Policy Watch: EU candidate countries including North Macedonia joined updated sanctions against Iran, while Georgia stayed out—an example of uneven alignment that can affect regional trade and compliance planning.

Hydropower Reversal in Sar Mountain: Infrastructure for two planned small hydropower plants (Pena 84 and Pena 85) is being dismantled in Leshnica Valley inside Sar Mountain National Park, after years of conflict between renewable energy plans and protecting fragile ecosystems. Food Safety & Trade: Bulgaria’s Food Safety Agency ordered the return of an 11.6-ton shipment of peppers imported from North Macedonia after pesticide residues were found above permitted levels, with intensified border checks continuing across tomatoes, peppers, peaches and watermelons. Energy Solidarity: North Macedonia’s Rade Končar delivered power transformers to energy companies in Ukraine’s Kharkiv and Zaporizhzhia regions via Ukraine’s emergency energy assistance hubs, aimed at restoring infrastructure hit by Russian attacks. Public Funding Watch: North Macedonia’s parties received nearly €9m from the state budget for regular operations, with VMRO-DPMNE taking a record €2.5m and SDSM down about 40% to around €1m, based on electoral performance rules. Tech & Industry: Prilep-based Mikrosam highlighted its automated fiber placement systems and composite automation for industrial and research use, positioning the company for wider adoption beyond aerospace.

Food Safety & Trade: Bulgaria’s Food Safety Agency says an 11.6-ton shipment of peppers from North Macedonia was returned after pesticide residues were found above permitted levels, with intensified border checks continuing across tomatoes, peppers, peaches and watermelons. Energy & Industry: North Macedonia’s Rade Koncar delivered power transformers to Ukraine’s energy companies in Kharkiv and Zaporizhzhia to help restore infrastructure hit by Russian attacks. Politics & Public Finance: North Macedonia’s parties received nearly €9m from the state budget for regular operations, with VMRO-DPMNE taking a record €2.5m and SDSM down about 40% to around €1m. Digital & Inclusion: A new “Universal Basic Compute” effort links UNICEF and Self to verify eligibility for AI capacity allowances, aiming to reach citizens, schools, clinics and small businesses. Business & Mobility: WTM London 2026 reports strong early exhibitor demand, including North Macedonia among confirmed destinations and tourism organizations. Cybersecurity Benchmark: A global index ranks North Macedonia among the top countries for cyber readiness, highlighting the region’s growing focus on protecting critical infrastructure. Regional Stability (Ohrid): Multiple pieces mark the 25th anniversary of the Ohrid Framework Agreement, stressing its role in dialogue, coexistence and EU/NATO-oriented reforms.

Food Safety & Trade: Bulgaria’s Food Safety Agency ordered the return of an 11.6-ton shipment of peppers from North Macedonia after detecting formetanate pesticide residues above permitted levels, with intensified border checks continuing at key checkpoints. Energy Cooperation: North Macedonia’s Rade Končar delivered power transformers to Ukraine’s energy companies in Kharkiv and Zaporizhzhia to help restore infrastructure hit by Russian attacks. Real Estate: Knight Frank data shows North Macedonia among the fastest-growing residential markets globally, with prices up about 16.7% year-on-year in Q1 2026. Politics & Governance: BIRN reports North Macedonia’s parties received nearly €9m from the state budget for regular operations in 2026, with VMRO-DPMNE taking a record €2.5m and SDSM down about 40% to around €1m. Tech & Inclusion: Self, UNICEF Digital Inclusion and the Connect and Compute Foundation plan “Universal Basic Compute,” using identity verification to ensure AI capacity reaches eligible citizens, schools, clinics and small businesses. Public Sector Integrity: A convicted election-offences intelligence officer, Kiro Todorovski, was granted security clearance for “state secret” access and later posted to Vienna, prompting complaints over how he passed checks. Sports (Local Interest): New Raiders’ centre back Richard Brown is on a 15-day trial with FK Skopje ahead of the club’s push in the Macedonian First League.

Trade & Food Safety: Bulgaria’s Food Safety Agency ordered the return of an 11.6-tonne peppers shipment from North Macedonia after pesticide residues were found above permitted levels, with intensified border checks continuing across tomatoes, peppers, peaches and watermelons. Energy & Industry: North Macedonia’s Rade Koncar delivered power transformers to energy companies in Ukraine’s Kharkiv and Zaporizhzhia regions to help restore infrastructure hit by Russian attacks. Politics & Public Finance: North Macedonia’s parties received nearly €9m from the state budget for regular operations, with VMRO-DPMNE taking a record €2.5m and SDSM down about 40% to around €1m, reflecting the country’s election-performance funding formula. Real Estate: A Knight Frank index put North Macedonia among the fastest-growing residential markets globally, with prices up about 16.7% year-on-year in Q1 2026. Tech & Digital Inclusion: Self Labs, UNICEF and the Connect and Compute Foundation announced “Universal Basic Compute,” using identity verification to ensure AI capacity reaches eligible citizens, schools, clinics and small businesses. Governance & Security: An intelligence officer convicted in the “Titanic” election abuses case was granted clearance for state-secret access and later posted to Vienna, raising questions over how security checks were handled.

Food Safety & Trade: Bulgaria’s Food Safety Agency says an 11.6-tonne peppers shipment from North Macedonia was sent back after pesticide residues were found above the permitted level, with the consignment detained at the recipient’s premises and returned before entering the Bulgarian market. Energy Support: North Macedonia’s Rade Končar delivered power transformers to energy firms in Ukraine’s Kharkiv and Zaporizhzhia regions via Ukraine’s emergency energy assistance hubs, aimed at restoring infrastructure hit by Russian attacks. Real Estate: Knight Frank reports North Macedonia among the fastest-growing residential markets globally, with house prices up about 16.7% year-on-year in its latest index. Politics & Funding: North Macedonia’s parties received nearly €9m from the state budget for regular operations, led by VMRO-DPMNE with a record €2.5m, while SDSM funding fell about 40% to around €1m. Business & Digital Services: Iute Group expands its Myiute app with iuteMarket, an in-app shopping and financing service now available in Albania and North Macedonia.

Food Safety & Trade: Bulgaria’s Food Safety Agency ordered the return of an 11.6-tonne peppers shipment from North Macedonia after formetanate pesticide residues were found above permitted levels, with intensified border checks continuing at key checkpoints. Energy & Industry: North Macedonia’s Rade Koncar delivered power transformers to Ukraine’s energy companies in Kharkiv and Zaporizhzhia to help restore infrastructure hit by Russian attacks, reinforcing regional supply links during wartime. Digital Economy & Inclusion: Self Labs, UNICEF Digital Inclusion and the Connect and Compute Foundation are rolling out “Universal Basic Compute,” using identity verification to ensure AI capacity reaches eligible citizens, schools, clinics and small businesses without sharing data with UNICEF or third parties. Real Estate: Knight Frank’s index puts North Macedonia among the fastest-growing residential markets, citing 16.7% year-on-year nominal price growth in Q1 2026. Politics & Funding: North Macedonia’s parties received nearly €9m from the state budget, with VMRO-DPMNE taking about €2.5m and SDSM down roughly 40% to around €1m, reflecting electoral-performance-linked allocations. Business Tech: Iute Group expanded its Myiute app with iuteMarket, an integrated shopping and financing service available in Albania and North Macedonia.

Energy & Industry: North Macedonia’s Rade Koncar delivered power transformers to Ukraine’s energy hubs for repairs in Kharkiv and Zaporizhzhia, supporting infrastructure hit by Russian attacks. Digital Banking & Retail: iuteGroup expanded its Myiute app with iuteMarket, letting customers browse, finance and buy products in one place across Albania and North Macedonia. Real Estate: A Knight Frank index put North Macedonia among the fastest-growing residential markets globally, with house prices up about 16.7% year-on-year in Q1 2026. Politics & Public Finance: North Macedonia parties received nearly €9m from the state budget for 2026 operations, with VMRO-DPMNE taking about €2.5m and SDSM down roughly 40% to around €1m. Governance & Security: An intelligence officer convicted in the “Titanic” election abuses case was granted state-secret security clearance and later posted to Vienna, raising questions over how checks were passed. EU & Regional Context: EU enlargement debate continues as Brussels pushes for new members, with the next wave hinging on political and strategic trade-offs. Business Environment: Bulgaria launched fruit and vegetable import checks amid rising markups, but experts warn controls must be permanent and not just border-based.