Legal Alert - Dividend payment to foreign shareholders in all corporate entities is not allowed during the state of emergency in North Macedonia

The Government of the Republic of North Macedonia has adopted a Decree, which replaces the Decree for prohibition of holding annual shareholders meetings. The Decree entered into force on 2nd of April 2020.

The Government has adopted a Decree, which prohibits the payment of dividend to a foreign shareholder during the state of emergency in the country. 

In accordance with the Decree, the companies may hold their annual shareholders meetings, they can approve the annual financial statements and decide for dividend distribution. However, dividend can be currently paid out only to the Macedonian shareholders, while the foreign shareholders may receive their dividend after the end of the state of emergency in the country.

 

In addition, the penalty interest for late payment of dividend shall not apply.

We’re here to help:

Papazoski and Mishev Law Firm can provide you with:

  • Advice on the implications of the above Decree on your activities;

  • Advice you on other applicable Macedonian legal aspects.

For more details, please refer to your usual contact within Papazoski and Mishev Law Firm or the persons indicated in the Contacts Section.

 

Legal Disclaimer: The material contained in this alert is provided for general information purposes only and does not contain a comprehensive analysis of each item described. Before taking (or not taking) any action, readers should seek professional advice specific to their situation. No liability is accepted for acts or omissions taken in reliance upon the contents of this alert.

Contact us

Kiril  Papazoski

Kiril Papazoski

Attorney-at-law , Papazoski and Mishev Law Firm, Macedonia

Tel: +389 23140 940

Ivan Mishev

Ivan Mishev

Attorney-at-law , Papazoski and Mishev Law Firm, Macedonia

Tel: +389 23140 940

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