TIRANA, January 20, 2016 — Achieving lasting poverty
reduction and shared prosperity in Albania requires an economic strategy
that is equitable and generates long lasting economic and employment
gains. Macro stability and comprehensive structural and institutional
reforms are necessary ingredients for success. These were the main
messages of a seminar, organized by the World Bank in Tirana, on
opportunities and challenges for Albania to accelerate an inclusive and
equitable growth for its people.
The event was chaired by the Deputy Prime Minister Niko Peleshi, with
World Bank presentations by Ellen Goldstein, Regional Director for
Southeast Europe and Ana Revenga, Senior Director of the Poverty and
Equity Global Practice. Representatives from the Government of Albania,
Ministers, Parliamentarians, development partners, Institute of
Statistics, academia, civil society, and media took part in the event,
which was dedicated to the late Director of the Institute of Statistics,
Gjergji Filipi.
“Albania needs to rekindle and rebalance economic growth, moving from
a past growth model led by consumption, to a new one driven by
investment and exports; reforms in this direction are starting to pay
off”, said the World Bank Country Director for Southeast Europe Ellen Goldstein.
After being hit by the global financial crisis of 2008,...
the Albanian
economy is recovering and is expected to grow at 3.5 percent per year in
2016-17. Key reforms in the areas of energy, pensions and public
arrears clearance are starting to deliver positive results. Fiscal
deficit is narrowing and public debt is on a stabilizing path. Declining
losses and improved collection rates in the energy sector as well as
pension reforms have enhanced Albania's social and fiscal stability.
“Alongside efforts to accelerate and sustain economic growth, reforms
should also aim at accentuating its inclusiveness and poverty reduction
impact”, said Ana Revenga, Senior Director of the Poverty and Equity Global Practice.
This requires improving the quality and inclusiveness of labor markets
by eliminating disincentives and barriers to formal jobs, and making
public services more efficient. Continuing the implementation of sound
fiscal policies, informed by the impact on poverty and inequality, will
ensure lasting gains in income growth and poverty reduction.
Moving forward, Albania needs to stay the course on reform
implementation aimed at restoring macro-fiscal sustainability, ensuring
growth benefits all, fostering inclusion and stimulating private sector
growth. Unleashing the potential of the private sector and its
contribution to jobs and growth will require world-class institutional
and business environment, transparency and good governance.
The World Bank currently supports 9 projects in Albania with a commitment of US$544 million.