This historic budget is a significant step toward enhancing the nation’s defense and security capabilities.

With this budget, defense spending will increase from $215 per capita to $219 per capita in 2025.

For the second year in a row, the Defense Budget exceeds the 2% GDP threshold, with more than 20% of total spending dedicated to investments in critical equipment and modernization.

Total capital expenditures in 2025 are increasing to 28.2 billion lek, with 12.2 billion lek designated for foreign-sourced capital expenditures.

A key priority of the 2025 budget is the raise in salaries for military personnel.

This budget includes a significant salary increase, benefiting around 6,000 military personnel, with approximately 2,500 of them receiving the increase for the first time.

The continuous salary increase has led to a 71% overall raise since 2021. This represents a key milestone in the Albanian government’s efforts to develop a well-equipped, well-paid, and highly trained military force.

The budget allocates approximately 1 billion lek for the reserve structure in 2025, serving as a key element in quickly addressing regional and broader security challenges and shifts.

The goal is that by 2030, this component will make up about 1/5 of the Armed Forces, equating to approximately 2,100 personnel.

The modernization and improvement of operational preparedness account for the largest share of financial resources, representing 54.8% of the Ministry of Defense’s budget for 2025.

This budget ensures the continuation of 21 modernization projects and the kickoff of 8 new projects in defense systems to enhance the rapid response capabilities of the Armed Forces.

The revitalization of the Military Industry in our country, a process already underway, is expected to restore the development and production capabilities of ammunition, explosives, and light weaponry, supported by the most advanced technology for their production. This initiative aims to transform the industry into a competitive force in international markets and is another key aspect of this budget.

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