• Albania is a frontrunner in the EU accession process in the Western Balkans, aiming at membership by 2030. Yet, structural deficiencies of the democratic governance prevail, including high corruption.
• The EU negotiation process is led by the central government with municipalities insufficiently involved in policy formulation, though, upon accession, the latter will carry the main responsibility of implementation. Strengthening their capacities remains key.
• Municipalities perform effectively only around 50% of the functions defined by laws. Redefining their competences, financing, and performance is a priority of the new Territorial Administrative Reform (TAR). In addition, the number of municipalities may be affected. A decision is expected to be taken by the Parliament in July 2026.
• The accelerated EU accession process, the potential TAR reform, and the local elections of spring 2027 are key contextual factors that will significantly shape engagement with local government, including Swiss-supported programmes.

Outcome 1: Municipalities benefit from increased availability and use of regional and local statistics for improved governance and service delivery.

Outcome 2: Public institutions are strengthened to adapt their capacities and frameworks in order to align with EU acquis and to implement TAR (if it takes place).

Outcome 3: Local governance institutions and accountability actors make effective use of adapted tools, mechanisms, and evidence to strengthen transparency, public participation, oversight, and responsiveness in municipal governance.

Expected Results:  

• The statistical system is strengthened with more statistics developed for local and regional statistics and more effective use from local governments.
• Performance based system and grant fund institutionalised through legal acts.
• National Association of Municipalities of Albania (NAMA) is strengthened and delivers services for its members enhancing local government’s role in EU agenda
• Training Academy of Local Government of Albania (TALGA) is operational and supports enhancement of capacities of local administration and elected representatives.
• Civil society and media are exercising their oversight role in coordination with local governments.

Results from previous phase:  

• Albania improved statistics on core municipal services based on more indicators, better quality of collection, web-based data and first ever Household and Dwelling Register, thus preparing the country towards a register-based census.
• Trust of citizens in local governments increased by 30% vs. 2017. Municipal councils improved functioning due to better operational procedures and increased accountability. Hands-on support to 61 municipalities has contributed to improved waste management: increased citizens satisfaction (48% to 74%), improved planning (36/61 municipalities) and service coverage (80% territory). A model for a decentralised Pre-school service is established and used by 59/61 municipalities. A performance measurement mechanism with performance-based grants has been established to increase service delivery and incentivise municipalities’ internal governance and accountability.

Phase 3 01.10.2026 - 31.03.2028   (Active)