Outstanding payments have increased this year, while as of the end of September debt has reportedly reached €162.5 million.

The government was only able to refund VAT by June, while the biggest debt growth was noted in ministries that had failed to pay trial costs, and public investments.

As of late September, arrears of institutions climbed to a total of €162.5 million. Debts have grown by over €14 million compared to June and €57 million compared to November 2020.

During this time span, VAT refund decreased, while ministries and town halls liabilities have increased.

The majority of arrears are credited to investments, with over €49 million, in addition to payments on behalf of individuals who have won lawsuits for unfair dismissal, about €24 million.

Official data from the Finance Ministry indicate that the most indebted institutions are Energy and Infrastructure, accounting for over 50% of the total stock.

Problems are also reflected in town hall finances. According to the Ministry of Finance, in the first 9 months debts climbed to €60 million, with Kavaja, Tirana, Vora, and Malësia e Madhe topping the list.

A majority failed to repay third parties on due time, claiming that they have inherited part of the debt throughout the years.

The Albanian government has taken efforts to repay these debts, but the pandemic and the earthquake created additional liabilities.

Meanwhile, other institutions such as the Supreme State Audit or Municipal Associations report that the accumulated debt is higher.