Alarm from PPP

Alarm from PPP

The performance of the Albanian economy is endangered as a result of the high bills that the state will have to pay for unilaterally breaking their contracts with companies.

Over the past few weeks, the International Courts have made a decision in favor of the companies, in effect adding to the budget 200 million euro.

The President of Institute for Public Policy and Good Governance, Arben Malaj argues that this figure is as much as 80% of the total investment.

Malaj has appealed the decision and is said to be paying particular attention to the PPP contracts.

Even the Confederation of Albanian Industries, following the decision of the International Court in Washington in the last few days, will request that the Albanian Parliament establish a commission for the in-depth investigation of the case in question and the extraction of all perpetrators.

According to official documents, the Albanian state risks facing international tribunals with financial penalties, which reportedly can amount to over 2 billion euros.

The Confederation of Albanian Industries finds that severe penalties from International Courts raise red flags for the Albanian government, which should be cautious in their current policy regarding PPP contracts.

The financial costs caused by Albania’s losses in international courts are quite severe and directly affect the National economy, the state budget, and the long-term welfare of Albanian citizens.

If no preventive measures are taken immediately, it is said that these financial penalties by international courts may lead to the end of the Albanian state budget.

The severe consequences of the penalties imposed by the international courts also lead to a long-term crackdown on financial market confidence and the further reduction of competitive power to attract foreign investments into the country.

EMISIONET