The Report on the Assessment of Accountability for Public Spending and Finances Presented in Tirana

Adhering to top international standards in public financial management is vital for Albania’s EU accession and access to European Union funds.

The Albanian Ministry of Finance, along with expert teams and the EU delegation, unveiled the Performance Assessment Report on Public Expenditure and Financial Accountability (PEFA) for Albania.

This report offers a comprehensive evaluation of the country’s public financial management system. It acts as a crucial instrument for enhancing transparency, accountability, and efficiency, thereby aiding ongoing reforms and the country’s sustainable development.

According to the report, there has been progress in budgeting processes, public investment procedures, and internal auditing; however, challenges persist in consolidated financial reporting, particularly concerning state-owned enterprises and public asset management.

The EU delegation in Tirana highlighted the importance of incorporating the PEFA report’s findings and recommendations as the government pursues reforms in public financial management.

Attendees at the report’s presentation included Albanian Deputy Minister of Finance Erjona Çela (Bejleri), representatives from major development partners, civil society organizations, and officials from state institutions involved in the evaluation.

Çela reaffirmed the Ministry of Finance’s dedication to enhancing institutional capacities and improving public financial management.

Andre Rizzo, Head of the Political Section of the EU Delegation, noted that the outcomes signify significant advancements in public finance, reflecting Albania’s commitment to reform and improvement.

Notable developments encompass the sustainable execution of the budget with minimal variations, a well-organized budgeting process underpinned by medium-term fiscal planning, robust internal financial controls and audit mechanisms, efficient tax administration, effective debt and liquidity management, and clearly defined objectives for public services with quantifiable performance metrics. (July 18)