Is Albania really “first in the region” in public procurement?

When Prime Minister Edi Rama stated that Albania is “first in the Western Balkans” in the modernization and integrity of its public procurement system, this was not just a rhetorical flourish, but a claim supported by an important international document, the 2024 SIGMA Report published by the OECD and the European Union.
This report, which remains the main reference even at the end of 2025, assesses Albania’s performance as the best in the region across key components of public financial management, including procurement.
However, relative leadership in a region facing similar challenges does not automatically make Albania a European model.
This analysis, grounded in verified facts from SIGMA reports, the European Commission, Transparency International and the World Bank, explores the nuances.
There is undeniably impressive formal progress, but also a practical reality still filled with gaps, where technological modernization collides with integrity barriers.
Our approach is realistic, not triumphalist, but neither pessimistic balancing the arguments for and against to reach a measured conclusion.

What do the facts actually say?
The core facts leave little room for doubt. The SIGMA 2024 report, also reaffirmed in the Prime Minister’s statements in December 2025 positions Albania as the regional leader in public procurement.
Among the six Western Balkan states (Albania, Bosnia, Kosovo, North Macedonia, Montenegro and Serbia), Albania ranks highest in indicators such as (a) the quality of the procurement law and alignment with EU directives (2014/24/EU and 2014/25/EU), (b) data transparency, and (c) the functioning of oversight bodies such as the Public Procurement Commission (PPC).
For example, the Public Procurement Law (PPL) is almost fully harmonized with EU standards, e-procurement has been operational since 2009, an early advantage compared to the region, and the Central Purchasing Agency (CPO) has standardized procedures, reducing court appeals by over 50% compared to previous years.
These achievements are not abstract, they are reflected in the European Commission’s 2025 report, which rates Albania as “moderately prepared” with “limited but steady progress.”
In this sense, Rama’s statement has a strong factual basis.
Albania is not simply “the best of the group,” but has built an architecture that sets it apart from its neighbors, making it a reference point for EU accession negotiations.

But Albania leads the region… in documentation (form, not substance).
This formal leadership is explained by sustained early investments. Amendments to the PPL in 2024 strengthened transparency and the use of digital tools, while the CPO trained over 1,000 experts, reducing procedural errors. The World Bank, in its March 2025 report, notes that these reforms have increased competition, reducing average tender prices by 15%.
But as SIGMA itself emphasizes, these are “indicators of the legal and institutional framework,” not necessarily of daily implementation.
It is like a well-designed building with strong foundations, but still with doors through which unauthorized entries are possible.

Where does the gap between law and reality begin?
The gap between form and substance begins where the law meets daily life, in perceptions and practices of corruption.
Although the SIGMA report praises the framework, it also notes that 70% of Albanian businesses believe tenders favor specific bidders, a figure higher than the regional average.
Transparency International’s 2025 Corruption Perceptions Index (CPI), published in February, is revealing. Albania scores 42/100 (an improvement of +5 points from 37 in 2024), ranking 80th worldwide, but still far from the EU average of 64/100. This improvement is positive, yet the high perceived corruption in procurement, the most vulnerable sector according to BIRN and the Balkan Barometer is striking: 1 in 4 citizens has paid a bribe for public services (Gallup 2024).
Furthermore, 95% of sensitive tenders are won at prices very close to the ceiling value, an indicator of potential bid coordination.
The argument is straightforward: a good law is not enough without trust. The key gap is insufficient implementation, where legal reforms have not yet changed the dynamics of political clientelism.
Thus, corruption perceptions remain very high. These perceptions are not merely subjective, they are supported by empirical data.
For example, the European Commission’s 2025 report stresses that although complaint handling time at the PPC has dropped (from 60 to 30 days), PPPs remain a high-risk area, with persistent concerns over major abuses.
This creates a contradictory narrative: formally a leader, but in practice, Albania remains among the most corruption-vulnerable countries in Europe regarding tenders, hindering both public trust and the absorption of EU IPA funds.

Modernization vs integrity, and the truth in between
Modernization and integrity move like two parallel tracks at different speeds. One has advanced significantly; the other lags behind.
On one hand, modernization is undeniable: e-procurement has increased transparency of notices, the CPO has reduced unplanned procedures by 20%, and complaint processing time has been cut in half, as noted by SIGMA. The World Bank, in its $80 million GovTech financing of March 2025, praises these steps as the foundation for “a new level of efficiency” in procurement.
On the other hand, integrity remains weak. The European Commission categorizes Albania as having “limited progress,” emphasizing structural corruption in major tenders.
Analytically, modernization has created strong tools, but without a strong ethical culture, these tools cannot guarantee clean processes. It is like owning a fast car on a road full of potholes.
Modernization is real and measurable. Facts such as a 40% increase in e-Albania applications by mid-2025 (World Bank) and the 15% reduction in tender prices show tangible results, making Albania a regional example in digitalization.
But integrity remains weak even with improvements. Only 60% of audit recommendations are implemented, and political favoritism remains widespread, making integrity an ongoing challenge rather than a consolidated achievement.

The role of AI (“Diella”) is innovation or illusion?
The integration of “Diella,” presented by the Prime Minister in September 2025 as a virtual minister, marks the peak of modernization, an ambitious step promising to automate 80–90% of procurement processes, reduce human influence and increase auditability.
Rama has promoted it as “100% corruption-free,” and the fact that Diella already assists in drafting terms of reference and verifying documents shows real potential. The World Bank supports this through the GovTech program, predicting economic savings and higher transparency.
But the illusion emerges from the risks.
Algorithms are not public, training data may embed biases or manipulation, and early-stage manipulation (technical specifications) remains possible, as highlighted by analysts at Tech Policy Press.
Without independent auditing from the EU/OECD, which is not finalized as of December 2025—Diella remains more of an innovative experiment than a proven solution, making it a promising but risky development.

How effective are the reforms?
Reform effectiveness is partial, like a half-full glass.
Positive in operational aspects, limited in depth.
Positive elements include a 20% reduction in new procedures, increased transparency in announcements, and improved professionalism in the CPO, where training has reduced lower-level interference. According to the World Bank (July 2025), these factors have increased the use of e-Albania by 40%, making the system more efficient.
But negative elements reveal the limitations.
Manipulation has shifted to pre-defined stages, and competition is often nominal (single-bid tenders). Audit implementation remains at 60%.
PPPs continue to be a hotspot for corruption, and business perceptions show minimal improvement.
The argument is that reforms have transformed the surface, making the system faster and more digital, but have not yet uprooted structural corruption, leaving effectiveness as gradual progress rather than a revolution.

Cost–Benefit, a cold evaluation
The cost-benefit balance involves major investments with gradual returns. Costs include €2.6 million in IT and AI (2023–2025), training for over 1,000 experts, and the administrative burden of the CPO (10–15% of the annual €1.2 billion procurement budget).
Auditing Diella may add over €1 million.
Benefits include a 20–30% reduction in procedure time, 15% savings from increased competition (World Bank), and potential reductions in corruption losses (5–10% of tenders, up to €120 million/year).
These contribute to EU alignment and unlock IPA funds.
Long-term, the balance is positive (+20–30% added value), but still far from outweighing initial costs. Returns depend on full implementation, making the reform a bet that must still be won.

Forecast 2026–2030: three realistic scenarios
The future of procurement in Albania depends on the balance between technology and political will, producing three possible scenarios.
In the optimistic scenario (BE-driven), OECD auditing of Diella ensures transparency, the PPC becomes fully independent, and the CPI reaches 50–55/100—turning Albania into a regional laboratory for AI-governance, supported by the World Bank’s GovTech program through 2029.
The realistic scenario (most likely) foresees gradual progress, corruption decreasing by 10–15%, EU alignment growing, but political constraints slowing business trust, with CPI around 45–48.
In the pessimistic scenario (politicization + technological risk), Diella becomes a centralized tool lacking transparency, influence monopolies deepen within the CPO, and CPI remains below 45—widening the gap between law and practice.
The predictive argument: success will come from depoliticization, not just tech, an achievable but fragile balance with external monitoring.

Do the facts support the Prime Minister’s claim?
The facts support the claim in form, but challenge it in substance with a “yes and no” that reflects the complexity of the reforms.
The “yes” reflects that Albania has the most modernized system in the region, the most EU-aligned legislation, the most consolidated e-procurement platform, and the most operational CPO (SIGMA 2024 and December 2025 statements).
The “no” reflects that modernization does not equal integrity: the corruption perception score (CPI 42/100) remains among the highest in Europe, problematic tenders with low competition are structural, and AI such as Diella is innovative but unproven in combating real-world abuses.
The statement is accurate as a technical assessment, but overstated as triumphalist narrative.
Albania is first in structure, but not first in the cleanliness of the process, making it a partial success story.

What does this mean for the country?
Ultimately, it means that Albania is on the right path, but not at the destination.
It is a regional leader in legal framework and digitalization, but still lacks full integrity.
Modernization with steps such as Diella and the CPO is real and measurable, making Albania a relative example for the Balkans. But integrity requires more than laws.
Integrity requires public trust, genuine competition, and independent auditing.
Success is measured not by formal rankings, but by what happens in daily tenders.
Do the best bidders win, or the best-connected?
In this sense, reforms should not be declared complete, but must continue rigorously, using support from the World Bank and EU to close the gap.
Albania has the potential to be not only first in the region, but a European success story, if political will confronts reality, not just rhetoric.