Open Data Albania is examining expenditures planned in the 2022 State Budget by identifying monetary values, distribution and beneficiary categories for individual grants, meaning direct payments to individuals and families.

These payments are planned in the State Budget and paid directly by the Treasury or Public Entities. The Open Data Albania staff monitors these transfers continuously, by tracking treasury payments towards individual and household accounts, whose transactions are coded with 606.

Specifically, the 2022 State Budget has planned to support the following categories of Individuals:

  • People with Disabilities and people in need of economic assistance, the Social Protection function;
  • Farmers, through the national scheme and the oil subsidy scheme;
  • Benefits from the Baby Bonus;
  • The Fund for the Politically Persecuted;
  • Fund for the Employment of People from Disadvantaged Groups in Social Enterprises;
  • Financing of new Social Services for groups in need, provided through local units, from the Social Fund;
  • Financing of free textbooks for students of the 9-year Elementary and Secondary Education;
  • Subsidizing Housing;
  • Re-vitalization (of Cultural Heritage) Bonus;
  • The Excellency Fund; etc.

All the above-mentioned expenditures are planned at a 34.7 billion ALL level, holding a share of 5.45% in the overall 2022 Budget. Meanwhile, the share of individual grants against the total current expenditures is 6.85%.

Source: Ministry of Economy and Finance
Comments and Analyses: Open Data Albania

Table: Individual grants from the State Budget, share against Budgetary Expenditue and Current Expenditure 2022
Source: Ministry of Economy and Finance
Comments and Analyses: Open Data Albania

This item is published in a detailed manner, divided by government functions, in the charts accompanying law no. 115/2021 ‘On the 2022’ Budget”, where the Social Protection function always occupies the largest portion against the total expenditures dedicated to Individual Grants.

Source: Ministry of Economy and Finance
Comments and Analyses: Open Data Albania

Social Protection also includes Individual Grants for the compensation of the Formerly Politically Persecuted. A 1 billion ALL fund has been planned for 2022, with 7300 former politically persecuted individuals estimated as potential beneficiaries.

Table: Category of Individual Grants planned by the Ministry of Social Protection in 2022, in 000 Lek2
Source: Ministry of Economy and Finance
Comments and Analyses: Open Data Albania

Furthermore, in 2022, a fund of 16.99 billion ALL is planned for people with Disabilities and their caregivers, who are eligible for support payment. A total of 167 thousand people will benefit from individual Disability Grants. On average, an individual benefits of 8 478 Lek per month. Whereas, the Economic Assistance is foreseen in the amount of 6.24 billion ALL for 67 thousand families and individuals in need. A fund of 2.2 billion ALL is foreseen for the Baby Bonus, with 35 thousand beneficiaries expected to benefit in 2022. There are 200 million ALL programmed for financing new social services and another 120 million ALL for the employment of about 200 people from disadvantaged groups in social enterprises.

Source: Ministry of Economy and Finance
Comments and Analyses: Open Data Albania

Funds dedicated to Farmers, in the frame of Transfers for Household and Individual Budgets, allocated through the Ministry of Agriculture and Rural Development and the Agency for Agricultural and Rural Development are planned at a ALL 2.25 billion level, in the form of subsidies for farmers, through support measures, and ALL 950 million for the so-called Fuel Subsidy Scheme (supply of Tax-free fuel for selected Farmers). In 2022, about 4800 farmers are expected to benefit from the National Scheme and about 17 500 farmers are expected to benefit from the Fuel Subsidy Scheme. For the latter, an extra ALL 500 million was added, through the government’s Social Resilience Package, in support of the farmers.

Table: Transfers for Household and Individual Budget from the Ministry of Agriculture and Rural Development
Source: Ministry of Economy and Finance
Comments and Analyses: Open Data Albania

In the Ministry of Finance and Economy’s budget there are ALL 1.32 billion intended to go towards housing and ALL 900 million towards the labor market. Regarding housing, 1 billion ALL is planned to cover rent subsidies, for families affected by the 2019s Earthquake, with 6 thousand families expected to benefit from the measure. This will be the last year funding will be provided for this purpose. Rent Bonus for Persons Affected by Earthquake Consequences and Rent Bonus for Individuals Affected by Expropriations in the Mandatory Post-Earthquake Development Areas can be a dynamic expense that varies from initial planning. This is a conclusion supported also by the increase in payments for this expenditure item by some Municipalities, which is also reflected in the individual grant transfers in the Treasury (code 606) for rent bonuses.

Meanwhile, ALL 900 million are planned to treat 4,900 people with unemployment benefits. These individuals who become unemployed after termination of employment due to job cuts or closure of the companies, are supported by unemployed income for a period of up to 12 months, depending on the contributions paid to social security.

For the Ministry of Education and Sports, the transfer for Household and Individual Budgets is planned at the level of 900 million ALL, which foresees the provision of free textbooks for the Elementary 9-year education students, 120 million ALL for Secondary school students who receive free textbooks and 200 million ALL for higher education students, financially supported by the Excellence Fund.

In the Ministry of Defense, transfers for Household and Individual Budgets in 2022 are programmed for a total 441 million ALL. There are ALL 280 million planned for the financial treatment of 160 recruited personnel and files that will be administered. They are related to additional benefits for military personnel in reserve or released and their families, for: transitional paid treatment; early retirement pension; supplementary pension, full retirement pension; supplementary disability pension; supplementary household pension; supplementary household pension, when due to life lost in the line of duty; etc.

The majority of the funds intended for transfers towards Household and Individual Budgets in the Ministry of Interior is planned for the support of employees with transitional payment, for the off-duty period, to be distributed based on rank, in the amount of 195 million ALL.

The School of Magistrates has provided about 173 million ALL for 227 candidates, planning to attend the program and whose salary will be covered in the amount of 50% during that time.

In the budget of the Ministry of Culture for 2022 is foreseen a fund of 100 million ALL for the Transformation of Objects in historical centers into business models. This project is called the Revitalization Bonus and this is the first year of the projects’ implementation. Through the scheme, the available grant will offer owners remuneration of expenses for the restoration and transformation of buildings within historic centers, into sustainable business models, which will help generate income and employment for the community.

Characteristics of 2022. In addition to sustainable policies, the structure and entirety of individual grants is related to the aftermath of major events that occurred in the last 3 years. Like the case of rent subsidies for households affected by the earthquake. Whereas, new policies such as the Baby Bonus, aim to promote the increase of births in our country. Equally innovative is the project for the Owners of Cultural Heritage Objects, which are to be restored.

Download excel: Individual Grants Planned in The 2022 State Budget
Comments and Analysis: Open Data Albania
Translated by: Rezarta Cushaj
Contributed by: B. M.