North Macedonia has actively embraced digital transformation initiatives to modernize its economy and boost competitiveness in recent years. The government aims to raise the digital economy’s contribution to GDP from around 5% currently to 10% by 2025.
Key programs and policies introduced include- the Digital Agenda 2020-2025 focused on e-governance, cybersecurity, digital skills and infrastructure development. Over $1 billion has been invested to roll out high-speed broadband nationwide and facilitate 5G adoption. This is enabling industries to leverage technologies like AI, IoT, cloud and big data.
The IT sector has emerged as a bright spot, growing at over 15% annually. Y-Combinator backed North Macedonia-based AI startup Anthropic raised $50 million in 2021. Skopje’s tech talent pool of over 20,000 professionals is attracting global companies to set up R&D and outsourcing centers.
Other industries are also transforming digitally – over 500 manufacturing SMEs have adopted Industry 4.0 solutions with government support. E-commerce is booming as more citizens access online services. Telemedicine initiatives launched during the pandemic improved rural healthcare access.
Nurturing local tech entrepreneurship through incubators and venture capital, reskilling the workforce and promoting digital literacy nationwide can help maximize digitalization’s socioeconomic impact. This transition is expected to create thousands of high-paying jobs and boost North Macedonia’s competitiveness.
Enhanced quality and inclusiveness in education through the Digital Education Platform. Improved availability of products and services, empowering citizens, workers and students in their daily affairs and needs during the lockdown. Increased international competitiveness due to the rapid development of the digital economy
North Macedonia has recognized the potential of digital transformation and innovation and the government has established the National ICT Strategy 2021-2025 to raise the number of digital citizens, build up digital users, foster digital creativity and establish partnerships for future development.
The country has also been devoting significant resources to attracting foreign investment through policy incentives and marketing. Despite the challenges, the digital transformation is expected to have a positive impact on North Macedonia’s economy in the long run.