Albania to launch state-subsidized agricultural insurance scheme

Albania is finalizing a new agricultural insurance scheme designed to protect farmers and crops from natural disasters such as frost, pests, floods, and fires. Minister of Agriculture and Rural Development Andis Salla announced that the state budget will subsidize a portion of the insurance premiums to make the mechanism more affordable and accessible for both small and large-scale farms.

Regarding long-term financial planning, the Ministry of Agriculture’s Medium-Term Budget Program for 2027–2029 indicates that direct support funds for farmers will remain relatively stable. Direct support is projected to reach approximately 5.23 billion lek in 2027, with a slight decrease to 5.21 billion lek in 2028, before rising to 5.42 billion lek in 2029. While the number of beneficiaries is expected to grow by roughly 5.2% over this period, the direct support fund is projected to increase by only 3.6%.

In contrast, the broader Rural Development program is expected to see significant growth, driven largely by capital expenditures. The total budget for this program is forecasted to rise from 8.31 billion lek in 2027 to 10.55 billion lek by 2029, with capital spending nearly doubling between 2027 and 2029.