What are the sectors financed by the 8.9 billion euro budget? - Social policies, infrastructure and the military receive the main attention
The 2026 budget is the highest ever approved. Referring to the draft, budget revenues, which are based on improving fiscal administration and minimizing informality in the economy, are programmed at around 8.5 billion euros and budget expenditures at around 8.9 billion euros or around 31.9% of GDP, resulting in around 550 million euros more than the revised 2025 plan. Meanwhile, the deficit stands at 2.3% of GDP, at the same level expected for 2025.
A special focus in the budget is on social policies. The government predicts a significant increase in social spending for 2026. Specifically, 100 million euros will be allocated to increase pensions under the new scheme, while 135 million euros will go to reimbursement of medications.
In addition to this policy, full financing of the effect of the minimum wage increase of 50 thousand lek per month is foreseen.
For the first time, the indexation of public administration salaries is also foreseen at a rate of 2.5% starting from January 1, 2026.
Public investments for 2026 are planned at around 1.9 billion euros, while the reconstruction fund will be 50 million euros.
120 million euros will be spent on 11 concession contracts, a slight decrease compared to this year's 123 million euros.
Referring to the draft budget approved by the government and submitted for discussion in the Assembly, for next year, priority sectors such as health and social protection, infrastructure and energy, education, and the military will be among the most funded.
As for the funds distributed by institutions, the Ministry of Health and Social Welfare receives the largest share of the "budgetary pie", approximately 853 million euros in 2026, which, in addition to the salaries of white-collar workers, also includes the investments foreseen in this sector.
The Ministry of Infrastructure and Energy will have a budget of 800 million euros, focusing mostly on investments in various road and railway projects.
The Ministry of Education has been allocated a budget of 680 million euros, which includes salaries for teachers as well as investments foreseen in this sector.
The Ministry of Defense also has a significant share in the budget, with a total budget of around 610 million euros, with the majority going to the combat forces and fulfilling Albania's obligation within NATO to have a budget above 2% of GDP.
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