World Bank supports Albania’s digital transformation with $80 million funding

World Bank supports Albania’s digital transformation with $80 million funding
Banking & Financial Services
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Ajay Banga, 14th president of the World Bank | Linkedin

The World Bank Group's Board of Executive Directors has approved an additional $80 million in financing to support Albania's public sector modernization and digital transformation agenda. This initiative aims to enhance public service access, particularly for vulnerable groups.

Albania has made strides in modernizing its public sector and implementing digital transformations, which have improved services and supported economic development. However, further advancements are necessary to fully leverage these innovations. Digital transformation can enable Albania to implement advanced public sector reforms, improve service delivery, increase human capital, and promote sustainable growth.

This additional funding builds on the existing Improving Equitable Access to High Standard Public Services through GovTech Program ($65 million). The program focuses on enhancing key public services' accessibility and quality. Current efforts include redesigning the E-Albania platform—a digital service platform for citizens and businesses—establishing Youth Innovation Centers to teach digital skills, and deploying 200 SmartLabs in primary schools to boost numeracy, literacy, and digital skills.

"We are proud to have supported the government in scaling up this flagship program," stated Richard Record, World Bank Acting Country Manager for Albania. "By modernizing and digitalizing local government services and improving financial management systems, this initiative will further enhance transparency and efficiency in public services."

The new financing will focus on three areas:

1. Re-engineering and Digitalizing Local Government Services: Ensuring efficient access to municipal administrative services for citizens and businesses.

2. Developing a new Digital Public Procurement Platform: Utilizing AI-driven innovations to improve transparency and efficiency in procurement processes.

3. Implementing a new System for Managing Public Finances: Designing a new ICT system for budget management at central and local levels.

"Our new support is expected to make a real difference in the lives of citizens," said Simon Carl O’Meally, Project Team Leader. "We project at least a 25% increase in processing online applications for public services."

This project aligns with the World Bank's commitment to improving public service delivery towards a more modern citizen-centered administration while promoting sustainable growth in Albania.