Albania has received a significant pre-financing installment under the European Union's Reform and Growth Mechanism, a key component of the Growth Plan for the Western Balkans. This mechanism aims to accelerate the region’s socio-economic convergence with the EU and pave the way for full membership, as reported by A2 CNN.
The pre-financing package, valued at €64.5 million, is designed to support the implementation of Albania’s Reform Agenda and its commitments under the Reform and Growth Mechanism. EU Ambassador to Albania, Silvio Gonzato, expressed his congratulations via a statement on X, emphasizing that the Growth Plan bolsters Albania’s economy, strengthens the rule of law, supports a greener Albania, and empowers human capital. He reiterated the EU’s steadfast support for Albania’s accession journey.
From this initial package, €30 million has been allocated as concessional loans to support Albania’s state budget, facilitating reforms outlined in the country’s Reform Agenda. The remaining €34.5 million, a mix of grants and concessional loans, will be directly injected into the Western Balkans Investment Framework (WBIF) to fund vital infrastructure projects across Albania.
“Congratulations to Albania on achieving another key milestone on its EU accession journey,” Ambassador Gonzato remarked. “The Growth Plan supports Albania in reaching this goal, bringing its economy closer to that of the European Union even before membership. We’re backing Albania in strengthening the rule of law, developing infrastructure, fostering a green economy, nurturing human capital, and promoting private sector growth. Europe stands alongside Albania to support sustainable growth and social cohesion as the country prepares to join the EU’s single market.”
Chief negotiator Majlinda Dhuka hailed the funding as a clear signal of trust from the EU, acknowledging the historical significance of this opportunity and reaffirming Albania’s determination to pursue comprehensive reforms and meet the necessary membership criteria.
By 2027, Albania stands to receive up to €922.1 million from the Reform and Growth Mechanism, contingent on ongoing progress in key areas such as the rule of law, fundamental rights, renewable energy, the digital economy, human capital development, and private sector advancement.
Future disbursements under the Mechanism will be tied to the successful completion of agreed reform steps, as outlined in the Reform Agenda negotiated between the European Commission and the Albanian government. As Albania advances in its reform efforts, the EU will unlock further financial support.
What is the Growth Plan?
The Western Balkans Growth Plan provides a roadmap to align the region’s economies with the European Union. It facilitates gradual access to the EU’s single market, enabling Western Balkans citizens to benefit from early integration perks while fostering deeper regional economic integration.
The Growth Plan offers an additional €6 billion in financial assistance to support socio-economic and fundamental reforms, alongside corresponding investments. Disbursements remain conditional upon meeting the specific reform targets detailed in each country’s Reform Agenda.
The European Commission is currently evaluating the first set of reform measures. Successful completion of these steps will grant Albania access to the corresponding disbursement under the Mechanism, reinforcing its path toward EU membership.