BIRN Fact-check: Does North Macedonia’s Budget Merit the ‘Human Capital’ Hype?

"An increase in salaries does not mean investing in human capital," said economics professor Abdulmenaf Bexheti of the South Eastern Europe University in the western town of Tetovo.

"If we want to invest in human capital then we need to invest extensively and consistently in the education sector, from preschool to higher education."

The opposition said the government's spending plan was little more than a list of "populist" measures to put more money in the pockets of voters ahead a parliamentary election on April 12.

People walk in central Skopje. Photo: EPA-EFE/GEORGI LICOVSKI

Biggest budget since independence

The 2020 budget is the country's largest in almost three decades of independence, with projected expenditures of 3.9 billion euros, five per cent more than in 2019, and revenues of 3.6 billion, or 5.6 per cent up on last year.

Most of the outgoings - 2.5 billion euros - are earmarked for salaries, pensions and other social transfers. That's 162 million euros, or six per cent, more than last year.

The health sector, which has struggled for years with retaining doctors and nurses due to poor working conditions and low salaries, will see the largest increase: nurses will receive a 10 per cent pay rise, general practitioners 15 per cent and medical professors 20 per cent.

Specialist doctors can expect to receive up to 25 per cent more money, taking their average pay to more than 1,600 euros net per month, well above the country's average wage of just over 420 euros.

Starting this month, pensions will see an average increase of up to 15 euros, with the average pensioner currently receiving a meagre 240 euros per month.

Teachers will also receive a pay rise of 10 per cent, but...