World Bank2013-09-032013-09-032001-04-16https://hdl.handle.net/10986/15521This report presents an in-depth evaluation of the budgetary planning process in Albania and the institutional arrangements required for better management of public expenditures. The report does not provide a detailed analysis of expenditures or an assessment of investment projects and their outcomes in each sector. Such a shift in emphasis is appropriate given the currently weak institutional capacities in Albania and the need to enforce accountability in the public sector.The report is arranged as follows: Chapter 1 deals with the macroeconomic frmaework and policies needed to maintain fiscal sustainability and improve fiscal discipline. Chapter 2 discusses revenue and expenditure patterns, presents measures that would enhance revenue performance and analyzes the allocation of expenditures. This chapter is designed to highlight the key expenditure priorities that should be more fully addressed as Albania moves forward with the medium-term expenditure framework process (MTEF). The bulk of the report--Chapters 3, 4, and 5--addresses key challenges facing Albania to improve its institutional environment and its capacities. Chapter 3 assesses the public expenditure management process and its weaknesses and how this process should be reformed. Chapter 4 explains how establishing the MTEF mechanism could provide a better linkage between policy planning and the allocation of resources. Chapter 5 discusses meeting institutional capacity requirements.en-USCC BY 3.0 IGOPUBLIC EXPENDITURESINSTITUTIONAL ANALYSISBUDGETARY PROCESSMACROECONOMIC POLICYMACROECONOMIC STABILIZATIONFISCAL SUSTAINABILITYGOVERNMENT SPENDING POLICYTAX REVENUESRESOURCES MANAGEMENTPOLICY PLANNINGINCENTIVESSAVINGS ACCOUNTABILITYACCOUNTABILITY MECHANISMSALLOCATION OF RESOURCESANTI-CORRUPTIONAUDITINGBANK PRIVATIZATIONBANK RESTRUCTURINGBASIC EDUCATIONBUDGET EVALUATIONBUDGET EXECUTIONBUDGET FORMULATIONBUDGET MANAGEMENTBUDGET MONITORINGBUDGET PERFORMANCEBUDGET PROCESSBUDGET SYSTEMBUDGETARY EXPENDITURESCAPITAL EXPENDITURESCIVIL SOCIETYCOMMUNISMCOMMUNITY DEVELOPMENTCONCESSIONAL LOANSCONCESSIONAL TERMSCONSENSUSCONSOLIDATIONCORRUPTIONCOST RECOVERYCOUNCIL OF MINISTERSCURRENCY UNITCURRENT EXPENDITURESDEBT SERVICEDEBT SERVICE RATIODECENTRALIZATIONDECISION MAKERSDECISION MAKINGDEFICITSDEVELOPMENT STRATEGYDEVOLUTIONDOMESTIC BORROWINGDONOR COMMUNITYECONOMIC ACTIVITYECONOMIC COOPERATIONECONOMIC GROWTHECONOMIC MANAGEMENTECONOMIC MEMORANDUMECONOMIC POLICIESECONOMIC REFORMECONOMIC SHOCKSEMPLOYMENTEXCHANGE RATEEXECUTIONEXTERNAL DEBTEXTERNAL SHOCKSFINANCIAL SECTORFINANCIAL SUPPORTFISCALFISCAL DEFICITFISCAL DISCIPLINEFISCAL INFORMATIONFISCAL PERFORMANCEFISCAL REVENUESFISCAL SUSTAINABILITYFOREIGN ASSISTANCEFOREIGN BORROWINGFOREIGN DEBTFOREIGN DIRECT INVESTMENTFOREIGN EXCHANGEFOREIGN EXCHANGE RESERVESFOREIGN INVESTMENTGOVERNMENT 'S REFORM PROGRAMGOVERNMENT DEBTGOVERNMENT EXPENDITURESGOVERNMENT OFFICIALSGOVERNMENT POLICIESGOVERNMENT POLICYGOVERNMENTAL ORGANIZATIONGROSS DOMESTIC PRODUCTGROWTH RATEHEALTH EXPENDITURESHEALTH INSURANCEHEALTH SERVICESHOUSINGHUMAN RESOURCESINCOMEINCREASED TRANSPARENCYINFLATIONINSTITUTIONAL ANALYSISINSTITUTIONAL ARRANGEMENTSINSTITUTIONAL CAPACITYINSTITUTIONAL ENVIRONMENTINSTITUTIONAL REFORMINSTITUTIONAL REFORMSINTEREST RATESINTERGOVERNMENTAL FINANCEINVESTMENT EXPENDITURESINVESTMENT SPENDINGLACK OF TRANSPARENCYLACK OF TRANSPARENCY AND ACCOUNTABILITYLOCAL GOVERNMENTLOCAL GOVERNMENTSLONG TERMLONG TERM PROCESSMACROECONOMIC FRAMEWORKMACROECONOMIC PERFORMANCEMACROECONOMIC STABILITYMARKET ECONOMYMINISTRY OF FINANCENATIONAL POLICYPENSION SYSTEMPOLICY DECISIONSPOLICY DIALOGUEPOLICY FOCUSPOLICY INITIATIVESPOLICY OPTIONSPOVERTY ALLEVIATIONPOVERTY REDUCTIONPOVERTY REDUCTION GOALSPOVERTY REDUCTION STRATEGYPRIORITY AREASPRIVATE SECTORPRIVATE TRANSFERSPRIVATIZATIONPUBLIC ADMINISTRATIONPUBLIC ADMINISTRATION REFORMPUBLIC ENTERPRISESPUBLIC EXPENDITUREPUBLIC EXPENDITURE MANAGEMENTPUBLIC EXPENDITURESPUBLIC INSTITUTIONSPUBLIC INVESTMENTPUBLIC RESOURCESPUBLIC SAVINGSPUBLIC SECTORPUBLIC SERVICEPUBLIC SERVICESPUBLIC SPENDINGPUBLIC UTILITIESPUBLIC WORKSREAL TERMSREDUCING POVERTYREGULATORY FRAMEWORKREPRESENTATIVESRESOURCE ALLOCATIONRESOURCE ALLOCATIONSREVENUE ADMINISTRATIONREVENUE COLLECTIONREVENUE PERFORMANCEREVENUE SOURCESSAVINGSSECTOR MINISTRIESSECTOR POLICYSECTOR WORKINGSERVICE DELIVERYSOCIAL INSURANCESOCIAL PROTECTIONSTATE BUDGETSTRUCTURAL ADJUSTMENTSTRUCTURAL REFORMSSUSTAINABLE GROWTHTAXTAX LAWSTAX REVENUESTECHNICAL ASSISTANCETOTAL EXPENDITURESTRANSITION ECONOMIESTRANSPORTTREASURYUNEMPLOYMENTWorld Bank10.1596/15521