Albania needs 9.8 billion USD by 2036 to implement its national climate change plan

The Albanian government is getting ready to approve the most important environmental strategy of the next decade—an ambitious plan that aims to protect the economy and citizens from the effects of climate change.
Environment Minister Sofjan Jaupaj has proposed the National Adaptation Plan (NAP) for Climate Change 2026–2036. The document, soon up for review, reveals a major financial cost. According to rtsh.al, Albania will need about 9.8 billion USD in investments to handle climate risks.
Where will the money go?
The plan lists 66 priority measures across five key sectors: agriculture, energy, transport, tourism, and urban development. Cities and infrastructure carry the largest financial burden. Urban development alone requires 2.7 billion USD (28% of the total) for greening projects, emergency plans, and resilient infrastructure. The plan allocates 2.1 billion USD for massive reforestation and ecosystem restoration, 2 billion USD for flood- and landslide-resistant roads, and 1.9 billion USD for protecting hydropower plants and the national grid.
In contrast, tourism demands only 8.5 million USD, as most actions focus on regulations rather than construction.
The report highlights the funding challenge. Out of 9.8 billion USD, Albania has secured just 700 million USD so far—300 million from the state budget and 400 million from donors and private partners.
This leaves a funding gap of 9.1 billion USD. To close it, the government plans to combine resources: 20% from domestic funds and the rest from international climate mechanisms like the Green Climate Fund, public-private partnerships, and green bonds.
Although most measures involve “soft” actions—laws, studies, and training—physical projects will consume the bulk of the money.
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Green measures (45%) focus on reforestation and nature-based solutions.
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Grey measures (23%) involve heavy infrastructure such as dams, floodwalls, and drainage systems.
Despite the high price tag, the government warns that inaction would cost far more. Climate-related damages could drain up to 7% of Albania’s GDP.
For this reason, officials consider the 9.8-billion-dollar investment not only essential but also economically wise, as it can prevent future fiscal disasters.
The plan runs until 2036, but large infrastructure projects may extend financial disbursements until 2042.



