OECD ranks Albania as regional leader in public administration and digital procurement

A new report by the Organization for Economic Co-operation and Development (OECD) and its SIGMA program has ranked Albania as a regional leader in public administration and digital public procurement. The report highlights Albania’s significant progress in modernizing public services, with 95% of services now offered online, and outlines further recommendations to strengthen administrative reforms.

Why is this important: Public procurement has long been a key area of concern in Albania, often plagued by corruption allegations. However, the digitization of procurement processes has increased transparency and operator trust, contributing to Albania’s recognition as a regional leader in governance. This progress underscores the importance of digital reforms in enhancing public trust and efficiency in government operations.

Context: Digitization has become the cornerstone of Albania’s governance reforms, earning praise from OECD experts. The report acknowledges that Albania is approaching the EU average in digital services, with 81% legislative alignment with EU standards. Additionally, 86% of Albanian civil servants report job satisfaction and commitment, reflecting a motivated public workforce.

Despite these achievements, Prime Minister Edi Rama admits there are areas requiring further improvement, particularly in procurement management. Rama emphasized that the government is collaborating with Microsoft to develop AI-driven models to enhance the efficiency and integrity of procurement procedures. The Prime Minister expressed dissatisfaction with current systems, describing digital modernization as a critical priority for his administration.

Challenges: The OECD report also identifies three key challenges for Albania’s public sector:

·       Leadership standards: High-level leadership does not fully meet merit-based standards.

·       Ministerial trust: The relationship between ministers and senior public officials requires strengthening.

·       Administrative burden: A large backlog of administrative cases remains unresolved in the courts, exacerbating perceptions of corruption.

What else: In his comments Rama argued that systemic modernization, rather than purely punitive measures, is essential to combating corruption. He highlighted how other countries, like Germany, have minimized corruption through robust institutional frameworks rather than relying solely on cultural or behavioral factors. Rama also cited Eurobarometer surveys indicating that corruption perceptions are widespread across many European countries.

The OECD evaluation involved a six-month review, during which Albania responded to over 1,500 questions in SIGMA’s electronic assessment system. Rama has positioned these reforms as justification for his government’s eligibility for a fourth mandate, drawing parallels to Angela Merkel’s long tenure in Germany.