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Albania gives only 0.05 euros per inhabitant for housing, the lowest level in Europe

2024-06-03 12:08:54Biznes SHKRUAR NGA REDAKSIA VOX

Albania gives only 0.05 euros per inhabitant for housing, the lowest level in

Albania has great needs for social housing, but the public funds provided for this service are among the lowest in Europe, according to the latest Eurostat data.

In 2021, public spending on housing was only 0.05 euro per capita in Albania. In this indicator, our country leaves behind Montenegro, Turkey and Bulgaria.

In Europe, Ireland has the highest housing costs per capita with 373 euros per capita, Finland with 339 euros per capita, Denmark and France with 316 and 210 euros each.

On the other hand, the countries of the Balkan Region, which includes Albania, have the lowest per capita expenditures.

Internal studies refer that the ratio of the number of beneficiaries against the number of applicants is very low for all municipalities.

The most vulnerable categories for social housing are: families with many children, beneficiaries of economic assistance, young couples, Egyptian families, women heads of households.

Most of the applications are focused on the Low-cost Housing program (facilitated credit).

Worrying is the percentage of municipalities that do not have any data recording system.

Housing is a service that belongs to the local government, but year after year the municipalities take less and less funds for this service.

Albania has a strategy for Social Housing 2016-2026, but the merger of the Ministry of Urban Development has left this area of ​​responsibility without attention.

The Albanian government considers the clear recognition of the supply and demand for social housing a major challenge.

The social housing programs that apply attract families with average incomes 6 to 8 times higher than the poverty line.

One of the biggest programs, the low-cost housing program, is not affordable for the poor and therefore they do not benefit from this program. Also, banking procedures are too long and costly.

Local government officials and bank employees often give preference to friends, and local government officials encourage individuals to apply for social housing even if they do not meet the criteria set by law.

The social rental housing program is more likely to focus on low-income households. But still, people living near or below the poverty line cannot afford this program. Whereas, housing subsidies are seen as a temporary solution to housing problems.


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