IPA II

Instrument for Pre-Accession Assistance — IPA II (2014–2020)

During the programming and implementation of IPA II (2014–2020), Albania benefited from substantial and structured EU financial assistance through national IPA funds, which were programmed on an annual basis and complemented by budget support operations. This assistance was further reinforced through participation in seven Territorial Cooperation Programmes, implemented both with other IPA beneficiary countries and with EU Member States, thus strengthening regional cooperation, cross-border connectivity, and integration into wider European networks.

In parallel, Albania also implemented projects financed under multi-beneficiary IPA instruments, which address common regional challenges at the Western Balkans level. In addition to these pre-accession instruments, the country participated in and benefited from a number of EU-wide sectoral programs such as Horizon, Creative Europe, Erasmus+, gaining access not only to funding but also to knowledge, innovation, and European partnerships[1].

The legal basis for IPA II implementation was the Framework Agreement between the Government of Albania and the European Commission, ratified by Law No. 37/2015[2]. The EU regulatory framework was established by Regulation (EU) No. 231/2014, which entered into force on March 16, 2014[3].

€553.14M
National IPA II allocation for Albania[1]
2014–2020
Programming period[3]
6
Priority sectors[1]

Note: Of the total €553.14 million, €516.34 million was implemented through direct management (EU Delegation in Tirana), while €36.80 million was implemented through indirect management by Albanian institutions, reflecting the gradual increase of national responsibility in managing EU funds[1].

Priority sectors of support

IPA 2014–2020 funds were programmed according to a sectoral approach, defined in the Indicative Strategy Paper for Albania (ISP), adopted by Decision C(2014) 5770 of 18.8.2014 and revised in August 2018[4]. The six priority sectors and their respective allocations are presented below.

Sector 1 · ~34% · ~€220M[1]
Democracy and Good Governance
Strengthening democratic institutions and processes, with emphasis on civil service reform and modernization of public administration. Support was directed toward enhancing the performance, transparency, and accountability of public services, improving public financial management, and empowering civil society organizations to play an active role in policy dialogue, particularly within the EU integration process.

Sector 2 · ~15% · ~€97M[1]
Rule of Law and Fundamental Rights
Support for the comprehensive justice reform aimed at establishing an independent, impartial, and efficient judiciary. IPA II funds contributed to strengthening law enforcement institutions and police operational capacities in combating organized crime, developing anti-corruption actions and policies, and implementing international agreements on the protection of minority rights and fundamental freedoms.

Sector 3 · ~10% · ~€68M[1]
Environment, Climate Change, and Energy
Alignment with EU standards and the acquis, proper waste and water management, sustainable management of natural resources, air pollution control, and measures for climate change adaptation and mitigation.

Sector 4 · ~9% · ~€56M[1]
Transport
Improvement of infrastructure and regional connectivity, enhanced road safety, and ensuring cross-border interoperability (technical compatibility at borders), facilitating the movement of people and goods and supporting regional integration.

Sector 5 · ~21% · ~€136M[1]
Competitiveness, Innovation, Agriculture, and Rural Development
Support for business competitiveness, market integration, improvement of the business environment, and tourism development. This sector also included support for farmers, agri-businesses, and rural communities to modernize production, improve standards, and diversify economic activities.

Sector 6 · ~11% · ~€69M[1]
Education, Employment, and Social Policies
Strengthening vocational education institutions and employment services, as well as labor market policies. Key focus on the inclusion of vulnerable groups, improving the efficiency of social and healthcare services, and fostering more inclusive growth.

Annual National IPA allocation (IPA II 2014–2020)

The table below shows the allocation of funds for each annual Financing Agreement, broken down by the two implementation methods — direct management (by the EU Delegation) and indirect management (by Albanian institutions through the Central Finance and Contracting Unit)[1].

National IPA (IPA II 2014–2020) — Allocation Table
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Financing Agreement Total allocated budget (€) Direct Management (€) Indirect Management (€)
IPA 2014 66,746,389 50,446,389 16,300,000
IPA 2015 92,202,800 78,002,800 14,200,000
IPA 2016 64,940,000 64,940,000 —
IPA 2017 61,200,000 59,350,000 1,850,000
IPA 2018 94,100,000 94,100,000 —
IPA 2019 70,650,000 68,650,000 2,000,000
IPA 2020 103,300,000 100,850,000 2,450,000
Total EU (IPA II) 553,139,189 516,339,189 36,800,000

Data source: SASPAC — IPA II. The provisional indicative allocation (2014–2020) was €639.5 million, while the final allocation programmed through signed Financing Agreements was €553.14 million[4].

Indirect Management and National Capacities

Under the Framework Agreement, EU funds are implemented through two methods[5]:

Direct Management — €516.34M (93.3%)
Funds are contracted and disbursed directly by European Commission departments, including staff in the EU Delegation in Tirana, under the authority of the Head of Delegation.
Indirect Management by Beneficiary Country (IMBC) — €36.80M (6.7%)
Fund implementation tasks are entrusted to national institutions — in Albania’s case, to the Central Finance and Contracting Unit (CFCU) of the Ministry of Finance and Economy. This approach reflects the EU’s gradual trust in the country’s administrative capacities and its preparation for managing structural funds after accession[1].

Monitoring and Reporting

Monitoring and reporting of IPA II financial assistance are mandatory obligations under the Framework Agreement. Annual Implementation Reports are prepared by the National IPA Coordinator (NIPAC) for each programming year, covering all sectors and Sectoral Monitoring Committees[2].

IPA II legal and regulatory acts

Below are all the legal acts adopted during the implementation of IPA II for each programming year.

Notice: The original legal acts for each year will be uploaded soon. The links below are currently placeholders.
DCMLegal acts — IPA 2014Coming soon
DCMLegal acts — IPA 2015Coming soon
DCMLegal acts — IPA 2016Coming soon
DCMLegal acts — IPA 2017Coming soon
DCMLegal acts — IPA 2018Coming soon
DCMLegal acts — IPA 2019Coming soon
DCMLegal acts — IPA 2020Coming soon

Sources and references · 5 official sources
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All financial and sectoral data have been verified against the official sources listed below.

  1. SASPAC — Official IPA II page (English version). Primary source for the total allocation of €553,139,189, the split between direct and indirect management, and sectoral allocations (6 priority sectors).

    saspac.gov.al/en/ipa-ii/
  2. Ministry for Europe and Foreign Affairs: page on IPA, confirming the ratification of the IPA II Framework Agreement by Law No. 37/2015 and the monitoring and reporting obligations.

    integrimi-ne-be.punetejashtme.gov.al/en/mbeshtetja-e-be-se/ipa/
  3. European Commission — DG NEAR: “Overview — Instrument for Pre-accession Assistance.” Contains information on Regulation (EU) No. 231/2014, in force from March 16, 2014, and the 2014–2020 Multiannual Financial Framework.

    enlargement.ec.europa.eu/enlargement-policy/overview-instrument-pre-accession-assistance_en
  4. IPA 2020 Annual Implementation Report — Republic of Albania: confirms the 2014–2020 indicative allocation of €639.5 million and the Indicative Strategy Paper C(2014) 5770, dated 18.8.2014, revised on 3 August 2018.

    integrimi-ne-be.punetejashtme.gov.al — Annual Implementing Report IPA 2020 (PDF)
  5. Albania–EU Framework Agreement (IPA II): Article 7 on EU budget implementation methods (direct and indirect management), in accordance with Articles 58(1) and 62 of the EU Financial Regulation (No. 1046/2018).

Last updated: April 2026. Implementation of several projects under IPA II is still ongoing.

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