Macedonia, the Former Yugoslav Republic of: Lacking Fiscal Transparency Standards

Inadequate Implementation of International Financial Reporting Standards

The Former Yugoslav Republic of Macedonia has been criticized for its inadequate implementation of international financial reporting standards. A recent report by the International Monetary Fund (IMF) revealed that the country’s fiscal transparency practices fall short of the required Code of Good Practices on Fiscal Transparency.

Issues with Fiscal Transparency in Macedonia

• Discussions with Macedonian authorities and other organizations have highlighted several areas where the country is failing to meet international standards.
• The assessment was based on a comprehensive questionnaire aimed at evaluating fiscal transparency in Macedonia.

Concerns Over Lack of Clear Information

The report highlights concerns over the lack of clear information on:

• Fiscal Risks: Unclear risks could undermine the government’s ability to make informed decisions.
• Contingent Liabilities: Inadequate disclosure of contingent liabilities can lead to a loss of investor confidence.
• Tax Expenditure: Lack of transparency in tax expenditure can hinder economic growth.

Experts’ Warning

Experts warn that Macedonia’s failure to adopt robust fiscal transparency standards could lead to:

• A loss of investor confidence
• Hindered economic growth

Immediate Action Needed

The country’s leaders are urged to take immediate action to address these shortcomings and implement more transparent financial reporting practices.