Introducing the Study on Decent Pensions and Opportunities for pension increases in Albania

We present the Study on Decent Pensions and the Opportunities for Increasing Pensions in Albania. In a new study developed by ALTAX, the possibilities and scenarios for increasing pensions in Albania are analyzed, with particular focus on increasing monthly pensions to 30,000 ALL and 50,000 ALL. This study provides a detailed overview of the economic, budgetary, and institutional factors that influence the feasibility of achieving these objectives for Albanian retirees.

The study includes two main scenarios for pension increases:

Scenario 1: Increasing pensions to 30,000 ALL per month, representing an average increase of 7,500 ALL per pensioner. This scenario could be achieved within 5–10 years, considering growth in contribution revenues and macroeconomic reforms.

Scenario 2: Increasing pensions to 50,000 ALL per month, requiring an average increase of 27,500 ALL per pensioner. This objective could be achieved within 10–15 years, requiring deep reforms, wage growth, and expansion of private pension schemes.

The study identifies several key factors that will affect the feasibility of achieving these objectives:

• Increase in contribution revenues and formalization of the economy. This would help replenish the pension system and ease the financing of pension increases.
• Wage growth and inclusion in the pension system. An increase in average wages is needed to enable sufficient contributions to the system.
• Reform of the pension system. Restructuring and unifying schemes for the public and private sectors could improve the system.
• Diversification of private pension schemes. This could reduce pressure on the public system and help individuals secure higher pensions.

The study suggests that a dignified pension for Albanian retirees is achievable, but it requires sustained commitment and a long implementation period. The optimistic scenario has a 70%–80% chance of realization, while the pessimistic scenario may be achievable with a 40%–50% probability. Reforming the pension system and increasing the formalization of the economy are essential to achieving this goal.

For more information and to participate in the open discussions about this study, we invite you to contact [Name of Institution / or Study Contact] for details regarding the presentation and consultation of the results.