North Macedonia adopts its first FDI screening law

As outlined in our September newsletter, the Law introduces mandatory pre-closing screening for certain foreign investments and provides for retrospective ex officio review of completed transactions. It also provides important clarification regarding the screening timeline and the expected application of the new regime.

Screening timeline clarified

Once a request for FDI approval is filed, the Ministry of Foreign Affairs and Foreign Trade (the "Ministry") has seven days to determine whether the filing is complete. If it is incomplete, the parties will be invited to supplement it.

The screening procedure commences once the Ministry confirms that the filing and supporting documentation are complete. While the substantive review may last up to 60 days, this period may be extended by a further 30 days in exceptional cases, including particularly complex investments or where additional checks or consultations with other authorities are required.

Importantly, the overall FDI screening procedure, calculated from confirmation of a complete filing until the Ministry submits its recommendation and proposed decision to the Government, may not exceed 90 days, or 120 days in exceptional cases.

The time required for the Government to adopt its final decision falls outside these periods.

Divesture as a last resort

The Law provides that the divesture measure is issued as a last resort. Namely, the divesture will be issued if the prohibition on further investment and restriction on ownership or voting rights are insufficient to eliminate the identified threat to national security, public order and strategic interests.

New regime expected to apply from April 2028

The Law provides for an 18-month transitional period following its entry into force, with the new FDI screening regime expected to become applicable in April 2028.

This transitional period will allow the authorities and market participants to prepare for the implementation of the new screening framework.

What does this mean for investors?

Although the new regime is not expected to apply immediately, investors should already consider the upcoming FDI screening requirements when planning transactions in North Macedonia.

The Law provides for mandatory pre-closing screening of certain investments involving the direct or indirect acquisition of at least 10 % of share capital and/or voting rights, its assets or critical infrastructure, provided that the investment value is at least EUR 50,000. It covers a broad range of sensitive sectors and activities.

For a detailed overview of the notification thresholds, sensitive sectors, government powers and retrospective review risks, read our 15 September 2026 newsletter, "North Macedonia moves toward first national FDI screening regime".

Authors: Srdjana Petronijevic, Danijel Stevanovic and Filip Zafirovski