Second Environmental Performance Review of Albania

74 Part II: Economic instruments and financial resources(in concession terms) to commercial term loans, is The environmental sector is very much dependent onclosely related to Albania’s moving from a low- international financing and a very high proportion ofincome country to a middle- income country.public environmental expenditure is coming fromexternal sources. Several development partners,Donor aid is integrated into the three-year bilateral donors in particular, are considering scalingexpenditure framework that the Government uses to down or phasing out their assistance in coming years.plan and manage public money. In this context, andin order to make donor aid better coordinated, The economic crisis and debt crisis in the euro zoneMoEFWA prepares an environment operational plan. is likely to further reduce the availability of donorThis, together with other policy documents, will aid, thus affecting the implementation ofserve as a basis for establishing a sector-wide environmental programmes.assistance programme.Table 5.6: 2011 Government budget expenditure by function, thousand lekFunctionTotalSocial protection 108,250,490Other unclassified expenditure 88,290,400Economic issues 48,425,057Education 40,560,832Health 37,057,465General public services 25,804,255Housing and community accommodation 21,414,101Public order and security 21,281,100Defence 13,829,726Entertainment, culture and religious issues 3,663,696Environmental protection 457,708Total 409,034,830Source: Ministry of Finance, 2012.Table 5.7: Ministry of Environment, Forests and Water Administration budget by type of expenditure,2009-2012, thousand €2009 2010* 2011* 2012*Expenditure on salaries and social security 6,698 7,081 7,333 8,5531 - Planning, management, administration 398 415 419 4802 - Environmental protection 488 561 569 6023 - Support to fishery sector 260 350 358 3664 - Water administration 154 167 171 2035 - Forest administration 5,398 5,589 5,817 6,902Share of MoEFWA budget (%) 53.82 54.92 47.18 50.43Other current expenses 2,715 2,561 3,983 4,1781 - Planning, management, administration 187 187 220 2682 - Environmental protection 358 309 415 4353 - Support to fishery sector 244 220 285 2974 - Water administration 81 81 98 1025 - Forest administration 1,846 1,764 2,966 3,076Share of MoEFWA budget (%) 21.81 19.86 25.62 24.64Internal capital expenses 3,033 3,252 4,228 4,2281 - Planning, management, administration 65 81 89 982 - Environmental protection 244 244 268 2683 - Support to fishery sector 894 1,276 976 9765 - Forest administration 1,829 1,650 2,894 2,886Share of MoEFWA budget (%) 24.37 25.22 27.20 24.93Annual budget 12,446 12,894 15,544 16,959Source: Ministry of Environment, Forests and Water Administration, 2011.Note: * According to Medium Term Budget 2010-2012.