Net payments for PPPs in 2020 around 3,3% of total of tax revenue

TIRANA, Nov 8 /ATA/ – The overall amount of annual net payments projected to be made by the general governance units to concessionary contracts or Public-Private Partnerships (PPPs) are estimated to amount around 14.6 billion lek in 2020 and this amount is accounted for only 3.3% percent of the total of 448.3 billion lek in tax revenue projected in 2019.

Pursuant to the organic budget law, the overall amount of annual net payments made by the general governance units out of concessionary contracts or Public-Private Partnerships (PPP) must not surpass the 5 percent limit of the previous year’s factual tax revenue.

In case this limit is exceeded, the Council of Ministers takes corrective measures through the budget revenue in order to set the payments back within the permitted limit in the following two years.

In 2020, the allowable net payment limit for concessionary/ PPP contracts of 5% of expected tax revenue for 2019 is estimated at around 22.42 billion lek.

In 2019, the Ministry of Finance and Economy has stepped up the monitoring process of performance of the concessionary contracts under state budget support, monitoring not only performance of the factual budget payments, as well as the planned performance indicators achieved by each concessionary contract.

/a.gjonaj/ /a.g/u.sh/