Disbursement of funds for human capital, Albania with the lowest level in the Region

2024-05-20 13:43:38Biznes SHKRUAR NGA REDAKSIA VOX

Internal policies in our country have not paid attention to the development of human capital, ie investment and development policies in education and health, housing and social protection to guarantee the development of skills in society.

The Western Balkans Investment Framework (Wbif), which coordinates donor grants and loans for the Region, noted that Albania has benefited from less funding than other countries in terms of human capital development.

Webif estimates that Albania from 2009 to 2023 has benefited only 3 million euros from funds for human capital, while Serbia was the biggest beneficiary in the region with 73.5 million euros, followed by Bosnia with 11.1 million euros, North Macedonia with 12.9 million euros, Montenegro with 12.8 million euros and Kosovo with 3.9 million euros.

The Economic and Investment Plan for the 6 countries of the Western Balkans recognizes the importance of education and skills, health and social protection to promote economic growth. In addition to efforts to reduce poverty, social inclusion and strengthen social security, other accompanying measures include social housing, education, health. A key area of ??intervention is digitization in the field of education and health.

As can be seen from the graph below, Albania has benefited from the lowest amount of funds for human capital at a time when it has the greatest needs in this regard.

The country is still experiencing high levels of young people leaving abroad, a phenomenon that indicates that a good climate for living is not being offered.

Representatives of international financial institutions suggested earlier this year that a healthy growth model should be based on investments in human capital and education.

Emanuel Salinas, the World Bank Manager for Albania, believes that human capital is the heart of the country's development trajectory and its ability to progress towards EU membership and the approximation of income and living standards to the European Union average.

To put it simply, Albania cannot become a strong, advanced and higher-income country without engaging an equally strong and productive human capital. According to him, the Albanian population can increase its productivity by 40% throughout its life, through improvements in health and education.

Anke Weber, head of the mission in Albania of the International Monetary Fund, has the same vision, who appreciated human capital as the foundation of sustainable development. "Accelerating the emigration of the Albanian labor force would worsen the challenge of the tight labor market, hindering productivity growth.


Disbursement of funds for human capital, Albania with the lowest level in the