General Informations

The Republic of Macedonia (Macedonian: Република Македонија, Republika Makedonija, Albanian: Republika e Maqedonisë) l, often referred to as Macedonia, is a landlocked country on the Balkan peninsula in southeastern Europe. It is bordered by Serbia to the north, Albania to the west, Greece to the south, and Bulgaria to the east. It was admitted to the United Nations in 1993.
The capital is Skopje, with 500,000 inhabitants, and there are a number of smaller cities, notably Bitola, Kumanovo, Prilep, Tetovo, Ohrid, Veles, Štip, Kočani, Gostivar and Strumica. It has more than 50 natural and artificial lakes and sixteen mountains higher than 2,000 meters (6,550 ft) above sea level.

The country is a member of the UN and the Council of Europe and a member of La Francophonie, the World Trade Organization (WTO), and the Organization for Security and Cooperation in Europe. Since December 2005 it is also a candidate for joining the European Union and has applied for NATO membership.

Geography

The Republic of Macedonia is a landlocked country that is geographically clearly defined by a central valley formed by the Vardar river and framed along its borders by mountain ranges.

The Republic's terrain is mostly rugged, located between the Šara and Osogovo, which frame the valley of the Vardar river. Three large lakes — Lake Ohrid, Lake Prespa and Dojran Lake — lie on the southern borders of the Republic, bisected by the frontiers with Albania and Greece. Ohrid is considered to be one of the oldest lakes and biotopes in the world [23]. The region is seismically active and has been the site of destructive earthquakes in the past, most recently in 1963 when Skopje was heavily damaged by a major earthquake, killing over 1,000.

The Republic of Macedonia also has scenic mountains. They belong to two different ranges: Dinarska and Rodopska. The Dinarska range is the oldest with subsequent erosion; the Rodopska range is younger offering rugged, alpine scenery.

Climate

The Republic of Macedonia has transitional climate from Mediterranean to continental. The summers are hot and dry and the winters are moderately cold. Average annual precipitation varies from 1,700 mm (67 inches) in the western mountainous area to 500 mm (20 inches) in the eastern area. There are three main climatic zones in the country: temperate Mediterranean, mountainous and mildly Continental. Along the valleys of the Vardar and Strumica rivers, in the regions of Gevgelija, Valandovo, Dojran, Strumica and Radovish the climate is temperate Mediterranean. The warmest region is the Demir Kapija and Gevgelija region, where the temperature in July and August frequently exceeds 40 C. The mountainous climate is present in the mountainous regions of the country and it is characterized by long and snowy winters and short and cold summers. The spring is colder than the fall. The majority of the country has a moderate continental climate with warm and dry summers and relatively cold and wet winters. There are 30 main and regular weather stations in the country. 

Economy

Today the Republic of Macedonia is considered a country with an intermediary-developed industry, with continuing growth, albeit slow, of the industrial production. The process of transition in the economy was triggered in 1995. The government has signed arrangements with the IMF (International Monetary Fund) and World Bank. It has an open economy that is integrating into international trade, with a total trade-to-GDP ratio of 79.5%. The most important sectors are agriculture and industry. The service sector also grew in the past few years. The work force has competitive education and skills, but lacks adequate jobs, leading to steady brain drain. The country's economic policy is to attract foreign investments and to increase employment. One of the biggest features of the country's economy is the fiscal discipline which maintained a stable currency for a long period. The country also makes efforts to develop the Small and Medium-Sized Enterprise sector.

It suffered severe economic difficulties after independence, when the Yugoslav internal market collapsed and subsidies from Belgrade ended. In addition, it faced many of the same problems faced by other former socialist East European countries during the transition to a market economy. Its main land and rail exports route, through Serbia, remains unreliable with high transit costs, thereby affecting the export of its formerly highly profitable, early vegetables market to Germany.

 The current government has announced plans to introduce flat tax system with the intention to make the country more attractive location for prospective foreign investors. The flat tax rate will amount to 12% in 2007 and will be further lowered to 10% in 2008.

Population

The Republic of Macedonia has an estimated population of 2,055,915 citizens, according to the last population census in 2002 with 58% of the population living in urban areas. Following is a list of the largest Macedonian cities according to the 1994 census data as more recent census does not list city populations and municipalities according to the 2002 census data: