Page 12 - SE Outlook Regions 2022
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focus will be on hospital autonomy, increasing the digitisation of the
                               health system, strengthening human capital, improvement of
                               infrastructure and logistics for hospitals, clinics and health centres, and
                               tackling bribery.


                               Rama pledged to raise the minimum wage from the current ALL30,000
                               (€244) to at least ALL38,000 and if possible to ALL40,000. Salaries of
                               teachers, doctors and nurses will be raised by 40%, and public
                               administration salaries by 30%, Rama promised.

                               A sovereign guarantee of €50mn is planned to support the transition to
                               new production lines and a special programme will be launched to
                               encourage innovation and excellence in manufacturing, with a financial
                               mechanism to reimburse companies' costs to increase their human
                               capital in innovation, design, marketing, research and development, the
                               prime minister said.


                               The government has announced ambitious infrastructure investments
                               including the construction of new ports and airports. In the energy
                               sector, the government aims to turn Albania into a net exporter of
                               electricity. Albania is already encouraging investment into new
                               renewable capacity as it diversifies away from dependence on
                               hydropower.

                               The pursuit of EU accession remains a priority for the government, but
                               for the moment Albania’s progress is held back by a dispute between
                               existing EU member Bulgaria and North Macedonia. As Albania’s
                               progress is coupled with North Macedonia’s, Tirana will most likely be
                               unable to start accession talks until Bulgaria’s lifts its veto on the launch
                               of talks with its neighbour.

                               Meanwhile, following the justice reforms carried out previously – one of
                               the requirements for Albania to advance toward EU accession – Rama
                               said he planned to do more to tackle corruption, including through the
                               digitisation of public services.







        1.2 Politics - Bosnia


                             Bosnia & Herzegovina entered 2022 in its most perilous state since the
                             signing of the Dayton Peace Agreement that ended the 1992-1995 war.

                             At a session of the Republika Srpska National Assembly in December
                             2021, Bosnian Serbs adopted a non-binding decision to withdraw the
                             entity from the joint armed forces, the tax system and the judiciary,
                             announcing the creation of entity institutions.

                             Following on from years of secessionist rhetoric from the Serb member of
                             Bosnia’s tripartite presidency Milorad Dodik, this immediately raised fears
                             of a move towards the breakup of Bosnia and a potential new conflict.

                             However, there were signs that this may be averted as Dodik announced





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