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Digital Transformation in North Macedonia

Over recent years, North Macedonia has been making steady strides in digital transformation — adopting digital technology not just for convenience, but as a core of public administration, economic development, and social inclusion. As it works toward aligning with European Union norms and improving citizens’ access to services, the country faces both opportunity and serious challenges. This article examines where North Macedonia stands now, what has been done, what remains to be done, and what the future may hold Foundations and Key Achievements 1. Government Structure and Strategy • In 2024, North Macedonia established a dedicated Ministry of Digital Transformation to drive forward digitalization policy and regulation. Key goals include modernizing public services, improving ICT infrastructure, enhancing cybersecurity, and promoting digital skills. • A national ICT strategy is being prepared—this will set a systematic roadmap for development of the communications, telecommunications, and information infrastructure. 2. Public Digital Infrastructure • The country has developed important building blocks: a data interoperability platform, digital ID systems, national electronic services portals, and digital registries. These provide a backbone for digital services and e-governance. • E-Government services have expanded, with the government aiming to reduce bureaucracy and deliver services more efficiently. As Minister Stefan Andonovski has stated, each reform is citizen-focused. 3. Connectivity and Infrastructure Expansion • Efforts are underway to boost broadband access, mobile network coverage (3G & 4G are widespread), and a roll-out of 5G in major urban areas. • A major recent investment: Telekom Macedonia has committed ~€40 million toward expanding fixed gigabit connections to 10,000 more households & businesses, launching/enhancing 5G service, and building a data center. 4. Sectoral Digitalization • Agriculture: There are ongoing efforts, supported by FAO and national authorities, to assess and promote digitalization in the agri-food sector. These include workshops for stakeholders (farmers, academia, private sector) to formulate policy recommendations. • SMEs & Micro-enterprises: Projects like “Digitalization Path” (MASIT) are helping small and medium-sized enterprises adopt digital tools, devise digital strategies, and access support to implement digital technologies. 5. International Cooperation and Funding • The country participates in EU programmes, such as “Digital Europe,” aimed at leveraging EU resources for advances in AI, cybersecurity, advanced digital skills, and broad adoption of digital technologies. • Local projects supported by donors or through partnerships help municipalities and local governments with “smart city” concepts, digital municipal services, and digital infrastructure. Below is an article about Digital Transformation in North Macedonia: its current state, achievements, challenges, and likely future trajectories.Digital Transformation in North MacedoniaIntroductionOver recent years, North Macedonia has been making steady strides in digital transformation — adopting digital technology not just for convenience, but as a core of public administration, economic development, and social inclusion. As it works toward aligning with European Union norms and improving citizens’ access to services, the country faces both opportunity and serious challenges. This article examines where North Macedonia stands now, what has been done, what remains to be done, and what the future may hold.Foundations and Key Achievements 1. Government Structure and Strategy • In 2024, North Macedonia established a dedicated Ministry of Digital Transformation to drive forward digitalization policy and regulation. Key goals include modernizing public services, improving ICT infrastructure, enhancing cybersecurity, and promoting digital skills. • A national ICT strategy is being prepared—this will set a systematic roadmap for development of the communications, telecommunications, and information infrastructure. 2. Public Digital Infrastructure • The country has developed important building blocks: a data interoperability platform, digital ID systems, national electronic services portals, and digital registries. These provide a backbone for digital services and e-governance. • E-Government services have expanded, with the government aiming to reduce bureaucracy and deliver services more efficiently. As Minister Stefan Andonovski has stated, each reform is citizen-focused. 3. Connectivity and Infrastructure Expansion • Efforts are underway to boost broadband access, mobile network coverage (3G & 4G are widespread), and a roll-out of 5G in major urban areas. • A major recent investment: Telekom Macedonia has committed ~€40 million toward expanding fixed gigabit connections to 10,000 more households & businesses, launching/enhancing 5G service, and building a data center. 4. Sectoral Digitalization • Agriculture: There are ongoing efforts, supported by FAO and national authorities, to assess and promote digitalization in the agri-food sector. These include workshops for stakeholders (farmers, academia, private sector) to formulate policy recommendations. • SMEs & Micro-enterprises: Projects like “Digitalization Path” (MASIT) are helping small and medium-sized enterprises adopt digital tools, devise digital strategies, and access support to implement digital technologies. 5. International Cooperation and Funding • The country participates in EU programmes, such as “Digital Europe,” aimed at leveraging EU resources for advances in AI, cybersecurity, advanced digital skills, and broad adoption of digital technologies. • Local projects supported by donors or through partnerships help municipalities and local governments with “smart city” concepts, digital municipal services, and digital infrastructure. Current Challenges and GapsDespite the progress, multiple hurdles remain. Some are infrastructural and technical; others are human, legal or organizational. 1. Digital Infrastructure Disparities • Rural and remote areas lag behind urban centres in terms of high-quality broadband access, fast fixed connections, and reliable internet. Accessibility remains uneven. • While mobile broadband and 3G/4G are widespread, fixed broadband speeds in many places are lower, and high-speed fibre-optic penetration is still limited. 2. Human Capital and Skills • There is a shortage of digitally skilled workforce, especially in newer fields like AI, cybersecurity, data science. Even where personnel exist, wages and cost of talent often push skilled workers to foreign markets. • At the citizen level, digital literacy is uneven. Older people, people in rural areas, or marginalized groups can struggle to make full use of online services. 3. Legal, Regulatory and Institutional Gaps • Interoperability between systems, data quality, regulation (e.g., for data protection, electronic identification) require further development. Institutional coordination across levels of government (national vs local) is often weak. • Some municipal services are not yet digitalized; local governments may lack technical capacity or resources to implement e-services. 4. Adoption Among SMEs and Private Sector • Though support exists, many micro and small enterprises are slow to adopt digital tools. Barriers include cost, uncertainty of return, lack of managerial capability or understanding of digitalization benefits, and regulatory / administrative hurdles. • E-commerce adoption is still low; likewise, use of digital marketing, social media, online sales platforms, etc., while increasing, is far from ubiquitous. 5. Affordability and Inclusion • Even where high-capacity networks are available, affordability of devices, data plans, and the necessary hardware/software can be prohibitive for some segments of population. • Gender, age, location, and socioeconomic status can create digital divides. Ensuring inclusivity in design, outreach, training is necessary. Opportunities & Future DirectionsGiven the achievements and remaining challenges, there are rich opportunities for North Macedonia to deepen and accelerate its digital transformation. Below are some key directions: 1. Strengthening Digital Skills and Education • Expand training programs in schools, universities, and for the adult population (especially in rural areas and among older demographics) in digital literacy, cybersecurity, data skills. • Partnerships between government, private sector, NGOs to upskill workforce, retrain people for digital economy roles. 2. Enhancing Infrastructure Universally • Invest further in fixed high-speed broadband (fibre, gigabit networks) especially in less connected areas. • Continue roll-out of 5G, but ensure that regulatory frameworks allow fair access and that roll-out is not confined only to main cities. 3. Boosting E-Government and Local Services • Further digitalize local government services, simplify administrative procedures, and ensure that municipal governments have capacity (both human and technical) to manage digital platforms. • Ensure services are user-friendly, accessible for people with low digital literacy, with alternative support where needed. 4. Support for SMEs and Innovation • Offer incentives (financial, technical assistance) to small businesses to adopt digital tools: e-commerce, automation, digital marketing, cloud services etc. • Promote tech startups, innovation hubs, and link them with international markets and investors. 5. Regulatory and Policy Improvements • Finalize and implement the national ICT / digital strategy, ensure legal frameworks align with best practices (data protection, digital identity, regulation of online services). • Enhance interoperability of public systems, ensure data quality, security, privacy. 6. Inclusive and Equitable Access • Policies to ensure that digital services are affordable, devices are accessible, and marginalized groups are not left behind. • Gender-inclusive design, user research, ensuring rural, elderly, low-income, persons with disabilities are considered. 7. Leveraging Emerging Technologies • Artificial intelligence, machine learning, big data can improve public service delivery, healthcare diagnostics, agriculture planning, etc. • Ensure ethical, secure, and transparent deployment. 8. International Cooperation & EU Alignment • Use EU programmes (like Digital Europe), donor programmes, and regional cooperation to access funding, best practices, technical support. • Align standards, harmonize with EU norms, especially if EU accession remains a goal.ConclusionNorth Macedonia is on a promising path toward becoming a more digital, efficient, and inclusive society. The foundational work has been laid: digital public infrastructure, legal initiatives, expanding connectivity, supporting SMEs, and focus on digital skills. Nevertheless, the journey ahead is complex. Key arenas to watch will be how the country navigates infrastructure inequality, skill gaps, regulatory readiness, and inclusivity.If the coming years are managed well, the potential benefits are substantial: better public services, reduced bureaucracy, improved economic competitiveness, attraction of investment, and improved quality of life for citizens. What remains essential is coherent policy implementation, sustained investment, and ensuring that no one is left behind in the digital leap.