The Minister of Finances, Arben Ahmetaj, explained for Top Channel how
the government’s “1 billion Euros” project will build public works
through private operators.
“Most of them will be based on the unsolicited offer logic. Enterprises will undertake the risk to draft a feasibility plan and a project, of course. The project is then taken by the government, ready for a public bid”, Minister Ahmetaj said.
The government has a list of 125 major works planned to be built. Businesses which offer the feasibility study too will have a 1% to 10% bonus with the bid points.
“Certainly, after a winner is chosen through an open tender, we will negotiate the investment cost. The most important thing is that the public debt will not be touched. It will even be lowered, because the payments for concessions will be less than 5% of our tax revenues”, Ahmetaj explained.
Businesses will build these works with their own funds. After construction, the budget will pay them with installments through a period of time extending up to 15 years.
But is this a hidden debt?
“On the contrary, it will put under discipline the 5% from the tax revenues, so that the budget will not be pressured for other concessions or investments”, Ahmetaj said.
But why doesn’t the government build these works with its own budget?
“We have an urgent need to build these schools and roads, and the government cannot procure that on its own”, the Minister said.
The government plans to inject 1 billion EUR a year in public projects for the next three years. According to Ahmetaj, this will stimulate economic growth, taking it to even 6%.
Top Channel
