WASHINGTON, February 12, 2025-The World Bank Group's Board of Executive Directors has approved a $120 million Second Resilience and Green Development Policy Loan (DPL) to support Albania's efforts in strengthening fiscal resilience and promoting green development. This financing marks the second in a two-operation series designed to help the country enhance fiscal and environmental sustainability.
The program focuses on three key areas:
- Strengthening resilience of the government sector and households.
- Enhancing the energy market framework while scaling up renewable energy and energy efficiency.
- Protecting the environment and reducing Albania's carbon footprint.
This program aligns with the Country Partnership Framework for FY2023-2027, reinforcing the World Bank's commitment to Albania's sustainable development and improved quality of life for its citizens.
"We are committed to supporting Albania in its journey towards a more resilient and sustainable future," said Richard Record, World Bank Acting Country Manager for Albania. "This financing will help the country address critical challenges in the energy sector and environmental protection, while also strengthening the government's ability to manage fiscal risks and better support vulnerable populations."
The program also aligns closely with Albania's aspirations for European Union accession, its 2024-26 Economic Reform Program, and its climate commitments under the 2015 Paris Agreement. Key measures include strengthening fiscal sustainability, enhancing social assistance systems, and advancing energy sector reforms.
Albania's macroeconomic policy framework remains sound, characterized by manageable fiscal deficits, declining public debt, stable monetary policy and macroprudential measures.
