In addition, there is lack of analysis for the best practices and experience of the NMS for implementing state aid. The level of state aid is inmmensurable lower than the average of the 10 NMS in the period before the EU accession. There is lack of consistency in granting state aid. Within the last five years, the largest portion of the state aid is granted for TIDZ as regional aid. Furthermore, no cost-benefit analysis is being carried out before making a decision to grant aid. The background analysis for this policy paper clearly demonstrates that most frequently state aid is granted ad hoc. The insufficient institutional and administrative capacity as well as the inadequate financial resources the absence of awareness, knowledge and understanding of the state aid instrument for the state aid providers, companies and the general public conjoined with the lack of political will, directs to the conclusion that the reform of state aid policy in the country is not a top priority. Notwithstanding the fact that the legislative and institutional framework on state aid is already in place, the credible enforcement of the legislation represents one of the main challenges for the state aid reform in Macedonia.
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