The Macedonian Denar (MKD) is the official currency of North Macedonia, a country in the Balkan Peninsula in Southeast Europe.
The Denar was introduced in 1992, replacing the Yugoslav Dinar after North Macedonia declared its independence from the former Yugoslavia.
The National Bank of the Republic of North Macedonia is responsible for issuing and managing the Macedonian Denar.
Exchange Rate System
The Macedonian Denar operates under a managed floating exchange rate system, which means its value relative to other currencies can fluctuate based on supply and demand in the foreign exchange market.
The National Bank of the Republic of North Macedonia intervenes in the market to manage the exchange rate and maintain stability, especially in relation to the Euro, which is the country’s main trading partner.
Subdivisions and Denominations
The Macedonian Denar is not subdivided into smaller units.
Coins are issued in denominations of 1, 2, 5, 10, and 50 Denari.
Banknotes are available in denominations of 10, 50, 100, 200, 500, 1000, and 2000 Denari.
Economy
North Macedonia’s economy is characterized by a combination of agriculture, manufacturing, and services sectors.
The country has a diverse agricultural base, producing crops such as tobacco, fruits, vegetables, and wine.
The manufacturing sector includes industries such as textiles, automotive components, and metal processing.
North Macedonia has faced challenges in its transition from a centrally planned economy to a market-based system, including high unemployment and slow economic growth.
The country has pursued a range of economic reforms to improve its business environment, attract foreign investment, and prepare for eventual European Union membership.
Summary
In summary, the Macedonian Denar is the official currency of North Macedonia, and its management falls under the responsibility of the National Bank of the Republic of North Macedonia.
The currency operates under a managed floating exchange rate system, with the Denar issued in various coin and banknote denominations.
North Macedonia’s economy is characterized by a mix of agriculture, manufacturing, and services sectors, and the country is working on economic reforms to enhance its business environment and attract investment.