Local debts

Local debts

Many of Albania's municipalities continue to be burdened by significant debts to companies, mainly to water supply and OSHEE.

The report by the Ministry of Finance shows that in total, the stock of obligations amounts to 6.8 billion lekë.

Even though it has decreased by 2.4 billion compared to the 2017 year, the municipal debts still remain high.

Tendencies show that over 3 years, the major municipalities have significantly reduced their obligations, while small municipalities have significantly increased them by continuing to not pay for the services they receive.

Tirana has significantly reduced its obligations during the last three years as well as the municipalities of Elbasan, Fier, Durrës and Berat.

Meanwhile, some small municipalities have almost doubled their obligations; those being: Mirdita, Kamza, Bulqiza, Dibra, and Finiq.

But beyond the high obligations, local government units are conditioned to not utilize any tenders during the month of June.

There is an increase in the number of tenders in the Public Procurement Agency during the last few days.

The head of the Association of Municipalities, Agron Haxhimali, says that despite the end of the mandate, the municipalities should continue their investments.

Even the mayor of Lezha, Fran Frrokaj, is against the suspension of tenders, but he argues that this decision does not hinder the institution he leads to realize the foreseen investments, as most of them have been procured.

From June 1st to June 30th, all municipalities around the country will not be able to utilize any large value procurement.



EMISIONET