TIRANA, OCTOBER 21, 2011     The MCC Albania Threshold I &II programs assisted the Government of Albania in implementing a number of high impact reforms aimed at reducing corruption and informality and improving the business climate in Albania.  Today, USAID and the Government of Albania co-organized a ceremony to highlight the successes of the MCC Albania Threshold programs.  U.S. Ambassador to Albania, Alexander Arvizu, Prime Minister Sali Berisha, and the Minister of Innovation and ICT, Genc Pollo, delivered remarks at the ceremony that acknowledged the valued contributions by and partnerships with Government of Albania (GoA) and civil society counterparts to the success of the program. 

In his remarks, Ambassador Arvizu thanked the Government of Albania, civil society organizations, and the business community for their contributions to support reforms to strengthen the rule of law and increase transparency and accountability in public administration in Albania.  He also stated that future progress, particularly towards Albania’s EU membership, will be based on renewed and continuous efforts to support reforms that fight corruption and further strengthen the rule of law.

ABOUT THE MCC ALBANIA THRESHOLD PROGRAMS (2006-2011)

The MCC Albania Threshold I project was a two-year (2006-2008), $13.85 million agreement between the Government of Albania (GoA) and Millennium Challenge Corporation and administered by USAID, that assisted the Government of Albania in implementing a number of high impact reforms aimed at reducing corruption and informality and improving the business climate in Albania in the following areas:

• Tax Administration
• Public Procurement
• Business Registration

The MCC Albania Threshold II project was a follow-on two-year (2009-2011), $15.7 million program that targeted reforms in the following areas:

• Business Licensing
• Tax Administration
• National Territorial Planning
• Joint Investigative Units (implemented by OPDAT)
• Administrative Courts

Key Results in Business Registration and Licensing:

• Nearly 93,000 applications processed in the first 12 months of operation of National Registration Center(NRC) and more than 19,000 new businesses registered between 2006-2008
• Fully electronic commercial registry is online and publicly accessible; 95 percent awareness of NRC in the business community
• National Licensing Center headquarters was established in 2009, along with remote service windows in nine municipalities
• More than 7,000 licensing applications processed in first 18 months of operation with an average processing time for most applications reduced from 42 to two days.

Key Results in Public Procurement:

• Complete package of standard bidding documents and regulations implementing the new PPL approved
• All procurement notices and tender documents are downloadable from website and all ministries use the e-procurement system
• 73 electronic tender awards totaling $29 million in value during the first 9 months of 2008
• In 2010, Albania’s Public Procurement Agency was awarded the 2nd place prize for Public Service in Europe for the development of an electronic procurement platform, made possible through the MCC Albania Threshold Program

Key Results in Tax Administration:

• New modern, comprehensive tax legislation in effect and fully compliant with international best practices
• Enforcement powers consistent with international best practices provided to GDT, and the role of tax police reduced
• 80 percent of tax declarations are e-filed, 25,000 regular e-filers, 40,000 users of e-tax services
• Payment processing time reduced from three months to one day, saving $1 million per year

Key Results in Territorial Planning:

• Territorial Planning Register established as a web-based repository for planning and building codes, guidelines, and decisions
• National Territorial Planning Agency operational and technical staff trained in use and maintenance of the register

Key Results in Joint Investigative Units:

• Established six regional Joint Investigative Units offices in Durres, Fier, Gjirokaster, Korca, Shkodra, and Vlora modeled after the successful JIU in Tirana
• Guidelines for the Investigation of Corruption and Financial Crime drafted, and JIU members are trained on topics, including investigation of corruption, financial investigations, money laundering, cybercrime, and trial advocacy

Key Results in Administrative Courts:

• Nine training courses developed for administrative judges and court staff along with a state-of-the-art, web-based case management system
• State-of-the-art, web-based case management system developed, as well as recommendations made for IT architecture and court facilities