WASHINGTON, February 12, 2025¡ªÐÓ°ÉÂÛ̳ Group¡¯s Board of Executive Directors has approved a $120 million to support Albania¡¯s efforts in strengthening fiscal resilience and promoting green development. This financing marks the second in a two-operation series designed to help the country enhance fiscal and environmental sustainability.
The program focuses on three key areas:
- Strengthening resilience of the government sector and households.
- Enhancing the energy market framework while scaling up renewable energy and energy efficiency.
- Protecting the environment and reducing Albania¡¯s carbon footprint.
This program aligns with the Country Partnership Framework for FY2023-2027, reinforcing the ÐÓ°ÉÂÛ̳¡¯s commitment to Albania¡¯s sustainable development and improved quality of life for its citizens.
¡°We are committed to supporting Albania in its journey towards a more resilient and sustainable future,¡± said Richard Record, ÐÓ°ÉÂÛ̳ Acting Country Manager for Albania. ¡°This financing will help the country address critical challenges in the energy sector and environmental protection, while also strengthening the government¡¯s ability to manage fiscal risks and better support vulnerable populations.¡±
The program also aligns closely with Albania¡¯s aspirations for European Union accession, its 2024-26 Economic Reform Program, and its climate commitments under the 2015 Paris Agreement. Key measures include strengthening fiscal sustainability, enhancing social assistance systems, and advancing energy sector reforms.
Albania¡¯s macroeconomic policy framework remains sound, characterized by manageable fiscal deficits, declining public debt, stable monetary policy and macroprudential measures.
