Prime Minister Edi Rama today outlined the Social Resistance Package designed to mitigate the impact of the global energy crisis, as well as of the war in Ukraine on prices.
Through concrete measures with immediate effect, the package has been designed to offset the rising prices of basic food items for retired people according to defined categories, families in need benefiting economic assistance, individuals with disabilities; provides support for farmers and small businesses, and funds the energy price shield for household consumers and small businesses.
The government will take the following concrete measures:
- The government will immediately allocate 3.6 billion lek or $36 million to index pensions. The measure will be reflected in the next month’s pension payment for 673,542 retirees all over the country.
- For 434,000 beneficiaries, citizens of this country, the government will provide cash handout to offset for the increased prices of basic food items increased by 7% according to INSTAT estimations or converted increase on top of the average consumption calculated before the shock is translated into an amount of 2 500 lek.
The government will provide cash handout of 3000 lek for three months to offset the rising prices of basic food items for the following social categories:
-the retirees receiving less than half of the minimum wage in monthly payment,
-disabled individuals,
-Pensioners, older adults living alone
– Persons with disabilities, paraplegics, tetraplegics or blind and all families that are currently under the economic assistance scheme.
3- The tax-free oil scheme in support for farmers will increase to 1.4 billion lek or $14 million, an additional amount of $5 million to be allocated immediately.
4 – The government will support all Albanians who use urban and intercity urban lines, immediately disbursing 500 million le or $5 million to pay the difference in the ticket price, so that no passenger is affected by the price change.
5 – The law on zero rate on personal income tax on monthly wages of 40,000 lek, the 50% cut in personal income tax on salaries up to 50,000 lek, as well as reducing personal income tax on monthly salaries of 1.5 million and 2 million lek will enter into force in April, two months earlier than projected. The decision will be reflected in the April salary for around 360,000 employees
6-The minimum wage will be set to 32,000 lek starting in April, two months earlier than projected.
7- The government will also invest 20 billion lek or $200 million to ensure electricity prices for households and small business don’t rise.
