Coordination of Foreign Aid

SASPAC · Directorate for Aid Coordination

Foreign Aid Coordination

Strategic support from international partners for sustainable development, institutional modernisation and European integration of Albania.

~2.5%
of GDP on average (2013–2023)
~14%
of the annual government budget
60%
from multilateral partners

What is foreign aid coordination?

Foreign aid coordination is the essential function that ensures the strategic use of support from donors and international partners, in service of sustainable development and the European integration process. This function guarantees that the financial and technical assistance provided is closely aligned with national objectives and with the priorities set out in the National Strategy for Development and Integration 2022–2030.

Foreign aid has been a decisive factor in modernising the economy, strengthening institutions and preparing the country for European Union membership. During the period 2013–2023, it has represented an average of 2.5% of GDP and approximately 14% of the annual government budget, reaching a peak in 2020 at 4% of GDP as a result of support following the earthquake and the COVID-19 pandemic.

A key element of coordination is the architecture of framework agreements — bilateral with donor states, with international financial institutions and with implementing agencies — which define the areas of cooperation, financial instruments and implementation mechanisms, guaranteeing the sustainability and impact of aid.

SASPAC’s Role

In Albania, the aid coordination function is carried out by the State Agency for Strategic Programming and Aid Coordination (SASPAC), established in 2021. SASPAC acts as a bridge between state institutions and international partners, ensuring that external support is directed towards priority areas, avoids overlaps and is used efficiently and transparently. The Directorate for Aid Coordination coordinates all bilateral and multilateral assistance, including cooperation with international agencies and development banks.

SASPAC

Strategic programming · Donor coordination · Monitoring & evaluation
Strategic alignment
Linking aid to NSDI 2022–2030 and integration priorities
Donor coordination
Bilateral and multilateral coordination, avoiding overlaps
Monitoring & evaluation
Tracking implementation, measuring impact, transparent reporting
Programmatic approach
From fragmented projects to integrated, sector-wide approaches

Donors and Development Partners

Albania benefits from a broad international partnership that includes the European Union as the largest donor, bilateral states, international financial institutions and United Nations agencies.

European Union & its Instruments

Instrument for Pre-Accession Assistance (IPA)
The main pillar of EU financial support — institutional reforms, administrative capacity building, alignment with European standards.

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Western Balkans Investment Framework (WBIF)
Blended financing for major infrastructure projects in energy, transport and digitalisation.

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Growth Plan for the Western Balkans
The Reform Agenda and new EU instrument for economic growth and convergence with the common market.

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Bilateral Partners

Germany KfW · GIZ
Good governance, economic development, energy, environment and institutional reform.


Switzerland SDC · SECO
Democratisation, decentralisation, economic development and health.


Italy AICS
Historical partner — economic development, agriculture, cultural heritage, institutional strengthening.


France AFD · Expertise France
Infrastructure, energy, health, digitalisation, agriculture — portfolio exceeding €365M.


Austria ADA
Justice, governance, vocational education, environment — priority country since 1992.


Sweden Sida
Rule of law, human rights, gender equality, public administration reform.


United States USAID
Rule of law, anti-corruption, private sector development, democracy.


Japan JICA
Long-standing partner since 1990 — infrastructure, disaster management, human development.


Netherlands Netherlands Embassy
Rule of law, good governance, water management and natural resources.


United Kingdom FCDO
Rule of law, justice reform, security and fight against organised crime.


Turkey TIKA
Infrastructure, education, health, cultural heritage and regional development.


Israel MASHAV
Agriculture, technology, innovation and capacity building.

$International Financial Institutions

International financial institutions play a key role in financing major projects. Grants are combined with concessional loans or blended finance instruments, enabling strategic investments.


World Bank IBRD · IDA · IFC
Infrastructure, social protection, education, health and public finance modernisation.


European Bank for Reconstruction and Development EBRD
Private sector, infrastructure, energy and green transition.


European Investment Bank EIB
Long-term financing — transport, water and sanitation, energy, urban development.


Council of Europe Development Bank CEB
Social projects — housing, health, education, emergencies.


Islamic Development Bank IsDB
Financing for infrastructure, education, health and rural development.


OPEC Fund for International Development OFID
Concessional financing for development projects in developing countries.

UNUnited Nations & International Organisations

International organisations implement programmes related to human rights, rule of law, sustainable development and democratisation. UN cooperation profile →


UNDP Development Programme — undp.org/albania
Governance, sustainable development, climate, social inclusion


UNICEF Children’s Fund — unicef.org/albania
Child protection, education, health, juvenile justice


UNHCR High Commissioner for Refugees — unhcr.org/albania
Protection of refugees, asylum seekers, stateless persons


UN Women Gender Equality — unwomen.org
Women’s empowerment, fight against gender-based violence


UNFPA Population Fund — unfpa.org
Reproductive health, family planning, demography


IOM International Organisation for Migration — iom.int/albania
Migration management, fight against trafficking, reintegration


FAO Food and Agriculture Organisation — fao.org/albania
Food security, sustainable agriculture, rural development


WHO World Health Organisation — who.int/albania
Health policy, emergencies, public health


UNIDO Industrial Development — unido.org
Sustainable industrial development, innovation, standards


Council of Europe Këshilli i Evropës — coe.int/tirana
Human rights, democracy, rule of law

Sectoral areas of support

28%
Infrastructure
Roads · Energy · Transport
22%
Governance & Justice
Reforms · Law · Institutions
18%
Social sectors
Health · Education · Protection
14%
Economic development
SMEs · Employment · Skills
11%
Agriculture & Environment
Rural · Climate · Resources
7%
Civil society
NGOs · Media · Youth

Foreign aid is concentrated in areas directly linked to EU integration priorities and sustainable development. Infrastructure and governance receive the largest share, reflecting the country’s strategic needs on its path towards EU membership.

Outlook

The establishment of SASPAC, the shift towards programmatic approaches and the full alignment of aid with the National Strategy have defined a new phase of quality. In the years ahead, partner support is expected to focus on:

Membership preparation
Building capacity for the effective absorption of EU funds and transition towards structural funds.
Green transition
Clean energy, sustainable transport, environmental protection and implementation of the green agenda.
Digital transition
Digitalisation of public services, digital infrastructure and technological skills for citizens.

Reports and Publications

The following publications provide reliable data and in-depth analysis on Albania’s foreign aid. They serve as a key reference for policymakers, state institutions and international partners in planning development cooperation.

Annual Report · 2013–2023
Albania External Assistance Progress Report 2013–2023

This report provides a comprehensive and analytical overview of a decade of international development cooperation in Albania. It documents the volume, origin and sectoral distribution of external assistance — from bilateral grants and concessional loans to technical assistance and multilateral programmes.

The report assesses the degree to which aid has been aligned with national priorities as defined in the Albanian government’s strategic documents, identifying areas of greatest impact: infrastructure, governance, justice and social sectors. It also analyses Albania’s institutional capacity to manage and coordinate external assistance, including progress on key donor-supported reforms.

This document serves as a key reference for policymakers, state institutions and international partners, providing reliable data and analysis for planning the next phase of development cooperation.

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Statistical overview · 2024
Albania — Official Development Assistance at a Glance 2024

This publication provides a consolidated statistical overview of international aid flows to Albania during 2024. The document presents key data by donor, sector and financing instrument, enabling a quick and accurate comparison of contributions from different partners.

The publication reflects Albania’s commitment to transparency and accountability in the management of external funds, in line with the principles of the Paris Declaration and the Addis Ababa Action Agenda.

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Statistical overview · 2023
Albania — Official Development Assistance at a Glance 2023

This publication provides a structured statistical summary of international assistance received by Albania during 2023. It identifies key trends in aid flows, highlighting shifts in donor priorities and the geographic and sectoral distribution of funds.

The document complements the 2024 edition and, taken together, enables a two-year comparative analysis that reflects the latest dynamics of international development cooperation with Albania.

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English →

Useful links

Within the SASPAC website

National institutions

International institutions

Cooperation profiles (PDF)

Additional cooperation profiles can be found on the Donors page — SASPAC.