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The government makes tenders without funds/ 370 million euros from investments to be paid after 2024

2023-12-19 08:10:00, Ekonomi CNA

The government makes tenders without funds/ 370 million euros from investments

The development of public investment tenders without prior approval of the Ministry of Finance is turning into a dark activity that increases the chances of misuse of Albanian taxes, the loss of their effectiveness and the increase of the burden of advance budget obligations.

An audit of the High State Control in the Ministry of Finance, which was the basis of the procedures for planning, implementation and monitoring of the state budget, found that there are at least 38 billion lek (370 million euros) in liabilities to investment contracts that must be paid after the year 2024. For some projects, the works have finished, but the financing seems to be done until the end of the next decade.

For example, the Kardhiq-Delvin road, with a total cost of 14.2 billion ALL, will be completely completed next year, but 3.1 billion ALL, or 22 percent of the cost, will be awarded after 2024.

The "New ring of Tirana" project, which has a completion date of 2024, has a total cost of 35.6 billion lek, but 14 billion lek or about 40 percent of the total value will be paid after 2024, according to the tables that KLSH has generated by the Ministry of Finance. In total, it will be about 370 million from investment projects that will be paid after 2024.

The inspectors of the HLSC have proven that public entities start procurement procedures without first obtaining approval from the Ministry of Finance and Economy. They make budget commitments without having funds available. Then the approval of the budget funds is done only for the purpose of concluding the contract (20% of the value) and then they are reduced. New investment projects are opened with Normative Acts, while investments in the process are closed. They were opened to public investments without going through public investment management procedures and without project description.

The KLSH report refers to the public that it has found violations in all aspects of budgeting and a weak planning of public investments by central and local institutions and a formal monitoring by the governing bodies of the Ministry of Finance and Economy in order to provide a security in the efficient and transparent management of public funds.

According to the SSC, these actions create the conditions for the creation of arrears with the effect of increasing the pressure to increase the public debt as a result of non-compliance with the limits approved for spending in the current budget year and the limits approved for future budget years. / Monitor.al