OVERVIEW OF THE FINANCIAL SYSTEM IN NORTH MACEDONIA

Mila Mitreva; Ljupco Davcev; Marija Gogova Samonikov

Mila Mitreva Faculty of Economics, Goce Delcev University, Stip, N. Macedonia
Ljupco Davcev Faculty of Economics, Goce Delcev University, Stip, N. Macedonia
Marija Gogova Samonikov Faculty of Economics, Goce Delcev University, Stip, N. Macedonia

Abstract

The financial sector in N. Macedonia is composed of deposit and non-deposit financial institutions. The banking sector is dominant in the financial system, while the participation of the other institutions is relatively lower. Although the total assets of the deposit institutions were 86.4% in 2022, these institutions faced declining trend in their assets throughout the past several years. In 2022 the total assets of the non-deposit institutions were 20.8%, however, with an increasing trend in the past several years. The obligatory pension funds have contributed mostly to the total growth of the assets of the non-deposit financial institutions. Therefore, considering the current dominant role of the banks and the upcoming importance of the non-deposit financial institutions, the aim of this paper is to deeply analyze the structure оf the total assets of separate deposit and non-deposit financial institutions in the financial sector of N. Macedonia.