Ervin Demo: Municipal revenues have tripled, the performance grant was a success

The Minister of State for Local Government, Ervin Demo, stated that Albanian municipalities have made historic progress in financial management, public services and good governance, approaching European standards.
During the conference where the municipal performance measurement system was presented, Minister Demo stated that "Revenues from municipalities' own resources have reached 44.4 billion lek in 2024, tripling compared to 2015. Revenues from property taxes have increased by 84.6%, from 3.9 billion lek in 2015 to 7.2 billion lek in 2024," emphasizing that this is a clear indicator of more efficient local administration.
He highlighted that municipalities' arrears have been reduced from 12 billion lek in 2015 to only 3.1 billion lek in 2024, calling this "an important step towards fiscal discipline and sound financial management."
In the area of public services, Demo highlighted progress in the preschool education, irrigation-drainage and waste management sectors:
“Cost coverage of waste services increased from 68% in 2023 to 83% in 2024, while the child-teacher ratio in kindergartens and nurseries is approaching the EU average.”
Speaking about the Performance-Based Grant, Demo described it as a transformative instrument for local government:
"Today, all 61 municipalities in the country are equipped with strategic planning documents and ready for European fund projects. This mechanism is not just funding, but a real European exercise."
Demo also announced the launch of cooperation with INSTAT and other institutions to establish an integrated local data system, which will serve as a basis for decision-making and performance measurement over the years.
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