How much of the Hungarian loan has actually been spent?

Money from the one-billion-euro Hungarian loan arrived in Macedonian accounts at the end of 2024 and the start of 2025, but authorities still have room to spend according to the distribution plan. Publicly available information about how much has actually been paid out versus approved remains incomplete.

What has been transferred and what remains

The Ministry of Finance reported most recently that an additional .9 million was transferred to the state Development Bank to provide preferential loans to companies. With that transfer, 39 million of the 50 million earmarked for municipalities has been shifted to relevant accounts, leaving 11 million still to be allocated for municipal projects.

Loans to companies are being channelled through the Development Bank and on-lent via commercial banks with an interest rate of 1.95%, maturities up to 15 years and a grace period of up to three years. The Development Bank has not yet replied to requests about whether commercial banks have taken up all available lines and which sectors have borrowed most.

The Hungarian billion was split in the government plan as follows: 50 million to cover a eurobond repayment, 50 million for municipal projects and 50 million for concessional business lending. The eurobond repayment is closed: the Ministry of Finance announced that the entire 500 million eurobond was paid on 20 January 2025. The Exim loan is priced at 3.25% interest with a 15-year term and a three-year grace period, and the repayment was presented as "a saving of money" by the authorities.

What is least clear is how much of the municipal tranche has actually been spent on the ground. The Ministry of Local Self-Government says projects worth about 300 million have been approved so far, but it emphasises that approved funding, signed contracts and actual payouts are distinct stages.

According to the ministry, two public calls produced 1,116 approved infrastructure projects in municipalities. The first call approved 288 projects worth 4.580.898.046,00 denars (74.5 million euros), while the second approved 828 projects worth 13.868.138.877,00 denars (225.5 million euros). The ministry says it is coordinating with competent institutions to reconcile data on transfers and actual payments so the public can receive a full and precise account. It also points to the central project-tracking portal projekti.gov.mk for monitoring the financial envelope and implementation stage of individual investments.

The ministry adds that its role in the Hungary-funded projects is limited to collecting and processing applications; further implementation follows government decisions and the distribution of responsibilities between institutions. Since Ivan Stoilkovic took office as minister, the ministry says one of its priorities is to increase oversight of project implementation and provide better on-the-ground verification.

Separately, Hungarian media reported at the end of July that Hungary's new government is intensifying scrutiny of a large financial deal struck by the previous administration. Prime Minister Peter Magyar announced a comprehensive probe into the transaction, which involved the Hungarian state Export-Import bank; Hungarian reports described the move as "part of a broader effort to investigate potential mismanagement of public funds during Viktor Orban's long tenure."

Photo: press material from the event