INTERVIEW

VIEW Interview

INTER Reforming

An Interview with The Honorable , Chairman, The Democratic Party of Albania

crediting, and consumption continued to shrink, and business-friendly, no-red-tape policies will reflecting the gloomy mood of the economy, and help reduce the margin of discretion of officials, the anxiety of investors and consumers alike. The and nonsense bureaucracy. number of businesses that filed for termination The Democratic Party’s fiscal program in- of their activity in January 2016 was 21 percent cludes implementation of a 9 percent flat tax higher than the same period one year ago. rate, elimination of dividend and capital gain tax, The Hon. Lulzim Basha The number of unemployed, particularly lowering of VAT to 15 percent, and improvement among the young, keeps rising and Albanians in- of fiscal administration to relieve businesses and EDITORS’ NOTE Lulzim Basha was the Mayor of creasingly see migrating to EU countries as their other taxpayers from bureaucratic burden. , the capital of Albania from 2011 to 2015. only hope. Last year alone, 100,000 Albanians left We believe in a government that provides Prior to being elected , Basha was for Western Europe, primarily to Germany, in business the necessary freedom to invest, to cre- twice elected as a member of Parliament repre- search of a better life. Official data confirm that ate job opportunities, and to improve working senting Tirana (2005- 2009) and Elbasan (2009- almost 200,000 Albanians have applied to come to conditions. 2011). During that period, he served as Albania’s the U.S. through the U.S. Immigration Visa Program. How critical is it for the Democratic Foreign Minister (2007-2009), Minister of Public What are the opportunities for foreign Party to take the lead in fighting corruption Works, Transport and Telecommunications (2005- investment in Albania? and upholding the rule of law? 2007), and Minister of Interior (2009–2011). Albania’s natural wealth, affordable la- This is fundamental. The Democratic Party bor force costs, and geographic location in the has proven in the past her ability to deliver on You ran for your current post on an anti- heart of Europe have the potential to attract im- the fight against crime and corruption. That is corruption platform. Has there been prog- portant investors. However, over the past two how we made it possible to make Albania a ress in addressing corruption in Albania? years, the country has been transformed into NATO member and that is why the EU removed The corruption in Albania has reached a the most taxed country in the Western Balkans the travel visa for Albanians in 2010. The time boiling point. According to the government’s while legal security and predictability has wors- has again come for the Democratic Party to en- own data, a shortcoming of $400 million was ened to unprecedented levels as a result of hap- gage the number-one enemy to democracy and recorded in revenue collection from Customs hazard fiscal changes, added bureaucracy, and the welfare of Albanians. We have the political and Tax authorities in 2015. The primary causes corruption. will, we have the plan, and we will deliver. of this were corruption and smuggling of fuel, The government raised taxes and tariffs, mak- What are you doing to grow the tobacco, and other excise goods by a handful ing Albania the country with the highest tax bur- Democratic Party and build its message? of oligarchs linked to the government. The High den in the region (save Greece). Therefore, FDIs, The Democratic Party is undergoing change State Audit on the other side recorded $845 mil- according to IMF data, dropped by 92 million EUR and opening up. The DP is the first party in lion in public procurement embezzled by the compared to one year ago. The IMF also con- Albania that has elected its leaders, locally and various government bodies, and state-run en- firms the opposition’s concern that FDIs shrunk centrally, based on the principle “one mem- ergy and oil companies. for the second consecutive year. They report that ber, one vote.” Our entire structure has thus Although key government ministers and the country still benefits from FDIs that entered been voted on by our members, starting with members of the majority in parliament have been Albania during the previous government before the leader of the party, the national council, named in these reports, Prime Minister Rama has September 2013, like the Devoll Hydropower the various departments, the heads of the local refused to take action. Instead, he has stood up to plant or TAP (Trans Adriatic Pipeline). branches, and recently the new leaders of our shield the accused officials rhetorically, as well as Although Albania offers numerous oppor- youth forum. The way we run our party today by blocking investigations and refusing to remove tunities in sectors such as clean energy, tourism, will be reflected in how we govern tomorrow. abusive and corrupt officials from office. agriculture, and oil and minerals, the current To this end, I am encouraging a much wider As a result, Albanians have seen one third lack of vision and priorities and, in particular, opening of the party to the youth and more de- of the public spending disappearing into the the trampling of public interest in favor of the bate over different opinions. At the same time, pockets of corrupt officials. This has caused a interest of a handful of government-backed oli- we are providing Albanians with an alternative. dramatic halt of public investments, a crip- garchs, has shifted companies with high poten- Proposals ranging from the economy to infra- pling of social programs, and has compounded tial towards neighboring markets. structure to education and healthcare have been a worsening economic climate, causing even With such corruption, what do you tell for- prepared by our best experts and are currently more unemployment and poverty growth. eign investors about doing business in Albania? undergoing consultations with the public. Would you discuss the current eco- Attracting foreign investments in Albania With so many challenges facing the coun- nomic conditions and outlook for growth depends on two fundamental factors. First, rule try, are you optimistic for Albania’s future? in Albania? of law and the uncompromised fight against The DP is getting ready to lead with a new Last year was one of the most difficult for the corruption, which has been taken to the level of energetic team and a well-consulted program on Albanian economy. While public debt soared over state capture in Albania. Every potential investor how to overcome this crisis and to work towards 72 percent of GDP, a chronic deficit continued to is forced to meet the Prime Minister or Ministers. a European style democracy, a strong economy, amass over the past 12 months. Exports, imports, Second, a regionally competitive fiscal regime and a secure future for all Albanians.• 98 LEADERS POSTED WITH PERMISSION. COPYRIGHT © 2016 LEADERS MAGAZINE, INC. VOLUME 39, NUMBER 2