Open Data Albania has looked into the economic damage caused by the administration and use of public funds by the local government, to the State Budget, evidenced by the SSA in the 2012 report. In total, 36 municipalities and 18 communes were audited, which were found to have caused an approximately 401 million ALL damage.

Much of the damage identified belongs to two main sectors: first: the procurement sector, where more highlighted is the damage caused by the Municipality of Pogradec, the Commune of Qukës, Librazhdi, the Municipality Korca, the Commune of Bërzhit, Tirana; and second: the urban sector, where can be mentioned the Municipality of Saranda, Municipality of Pogradec, Municipality of Shkodra and Municipality of Rrëshen.

These sectors, together, explain about 66 % of the damage caused by the local government, while their damage was respectively: about 142.3 million ALL in procurement sector, while urbanization reached about 124 million ALL. Interestingly, from the 54 units audited, in only 10 of them or 18 % economic damage hasn?t been found in the procurement sector.

Other sectors with relatively high values can be listed, like “sale and lease of public property” with approximately 50.7 million damage and “operating expenses” with 35.4 million ALL damage. The graph below shows the damage caused by sectors of the municipalities and communes in 2012.


Sourse: Supreme State Audit
Processing and comments: ODA

Special interest is represented by the Local Government Units, which have caused the highest economic damage. At first, comes the Municipality of Saranda with 70 million or 17.5% of all recorded damage to municipalities and communes in 2012. It is also the municipality with the highest economic damage in the urban sector, as it has caused nearly half of its total damage. Shortly after comes the Municipality of Pogradec, with 46.4 million, which was the municipality with the highest damage in the area of procurement, about 20 million ALL, but without ignoring the damage in urbanization with 13.3 million. In third place there is the Municipality of Korca, with 31.3 million of damage, where the bulk of it is found in the area of procurement of 17.6 million.

Next comes the Municipality of Lac, whose damage equals a total value of 30.4 million ALL, with 92 % of it or about 28 million belonging to the damage in the “lease and sale of public property” sector. The list follows with the Municipality of Himara, which marks a damage of 29.5 million, spread mainly in three sectors: operating expenses (10.45 million), procurement (8.1 million) and urbanization (6.5 million). These five municipalities taken together have caused more than 50 % of total damage caused by the local government in 2012.

Meanwhile, other units of local government with high economic damage for the period and institutions audited, may be mentioned: the Commune of Qukës Librazhdi, with 18.8 million, almost entirely at the expense of the procurement sector, the Commune of Bërzhit Tirana, with 17,28 million ALL, again with over 78 % of the damage in the procurement sector; the Municipality of Rrëshen, with 17.76 million, with noticeable high damage in the urbanization sector (11.6 million) and the Municipality of Lezha, with 13.8 million. The following chart gives a clear view of municipalities and communes with the highest economic damage in 2012.


Sourse: Supreme State Audit
Processing and comments: ODA

The economic damage by minicipalities and communes (in 000 ALL)


Sourse: Supreme State Audit
Processing and comments: ODA