Media Advisory

PENSIONS AND SALARIES ARE SAFE BUT THE GOVERNMENT’S CORRUPTION IS NOT
SDSM calls on the government to cancel 650 million Eurobond

SDSM’s leader Zoran Zaev today called on the government to cancel the issue of the proposed bond for 650 million Euros as part of his continued drive to fight Government corruption and incompetent mismanagement of Macedonia dwindling capital resources.

The Leadership of the ruling regime has publically claimed that the Eurobond was issued in order to pay basic expenses such as pensions, salaries and social transfers. This claim conflicts with the budget rebalance that was presented by the same Government leadership for approval by Parliament in June 2016. Money for all basic expenses, including Pensions and salaries of public servants has already been allocated. Pensioners and Public servants do not need to worry. Any further funding requirements must only be addressed in a responsible manner.

The regime’s leadership is insisting on increasing the National debt by EUR 650 million as quickly as possible to cover basic expenses that have already been covered. At best this is incompetent and irresponsible financial management of state resources on the part of VMRO-DPMNE’s leadership or clear indication of endemic corruption by the ruling elite.

Macedonia has been embroiled in political turmoil since the release of hundreds of wiretapped conversations raising serious allegations of corruption, misuse of state funds, electoral fraud, abuse of power and disregard for the rule of law since February 2015. Allegations are currently being investigated by the Special Prosecutor established under the Przino Agreement of June 2015.

Mr Zaev stated: ‘The strong and hostile response by the leadership of the regime to an unnecessary Eurobond issue that would increase the National Debt by EUR 650 million raises serious alarm bells. This Eurobond issue is not about pensions, wages and social transfers. There is enough money in the Budget to cover these. But there is not enough in the Budget to fully fund planned corrupt activities. We suspect that they are angry because the money obtained from the Eurobond was to be diverted for corrupt personal interests. They are not angry about the National Debt, they are angry because they believe this money is theirs. It is our mission to eliminate corruption and restore responsible, transparent and democratic government to the Republic of Macedonia.’

The delay by the major banks, despite the claims from the government that the issuance of the bond is compliant with all Macedonian regulations is a clear indication that there is unease and doubt about the legality on an international level.

Mr Zaev stated: ‘The most responsible path to take by the regime would be to cancel the bond and to begin to manage the national budget and scarce resources in a responsible and transparent way until such time that free and fair elections have been held and a legitimate Government is in place.’

‘In the interests of openness and transparency SDSM have released a fact sheet outlining which laws and regulations the current Eurobond issue violates so that the people of Macedonia can make their own minds up on what is really behind the actions of the government’

SDSM remains committed to returning democracy, basic freedoms, functioning institutions and the rule-of-law in Macedonia. To this end, they are willing to work with the ruling coalition in compliance with the legal obligations arising out of the Przino Agreement to ensure all legal aspects of any bond issue, only in an amount that is truly necessary and following a transparent public process in line with the agreed Budget, are complied with and allocation of every euro of the bond is accounted for.