Pavle Trajanov

Several smaller parliamentary parties from all sides of the political spectrum in North Macedonia, supported by the main ruling Social Democrats, on Friday filed a fresh draft to change the election system and encourage more political diversity.

The former partners in the last coalition government in North Macedonia, the Social Democrats, SDSM, of Zoran Zaev, and the Democratic Union for Integration, DUI, led by Ali Ahmeti, are engaged in substantial talks on a new government, amid speculation that talks might be stuck over the DUI's insistence on an ethnic Albanian prime minister.

Macedonia's ruling party is attempting to prevent the formation of a third political bloc that aspires to the same kind of voters by tempting its members with coalition offers.

VMRO DPMNE has sent generous coalition offers to at least two small rightwing parties, the VMRO - People's Party and MORO - Workers Party, BIRN has found out from informed sources.

After Macedonia's main opposition party, the Social Democrats, SDSM hinted that it will discuss at its October 2 party congress ways of combining all opposition forces into one united front against Gruevski's ruling VMRO DPMNE, several smaller parties have said they are interested in the idea of collaboration.

A proposal to raise the number of diaspora MPs from three to 20 in the 123-seat parliament has met a cold response from the main opposition Social Democrats.

The Social Democrats said the idea, presented as the parties mull electoral changes ahead of the snap elections set for next April, was "a plan to avoid electoral defeat" on the part of the ruling VMRO DPMNE party.

Financial experts have broadly welcomed plans by Prime Minister Nikola Gruevski to set up tax havens on the ground that they will boost employment in the financial and legal sectors.

The plan took a step towards realisation after parliament on Wednesday gave a green light to a package of constitutional changes that, among other things, allows for the opening of such zones.