The Council of Ministers approved on October 2, 2026, a draft law proposing the creation of an independent Fiscal Council that would report directly to Parliament.

The proposed institution is intended to strengthen fiscal discipline, transparency and the sustainability of public finances, in line with European Union requirements and international practices.

Under the draft legislation, the Fiscal Council would monitor compliance with fiscal rules, assess fiscal policies and provide independent opinions on the sustainability of public finances and potential fiscal risks.

The council would not be responsible for designing fiscal or budgetary policies and would have no executive powers. Its role would instead focus on monitoring, analysis, assessment and reporting.

Among its main responsibilities would be assessing the medium-term macroeconomic and fiscal framework, the annual state budget and any amendments to it, as well as the annual report on budget implementation.

Its opinions on the draft budget and the macroeconomic and fiscal framework would be included in documents submitted to the government and Parliament. If the council raises negative findings or concerns, the Ministry of Finance would be required to provide an explanatory report.

The proposed council would consist of three members serving six-year terms, with the possibility of one reappointment. To ensure rotation, the initial members would serve terms of six, five and four years respectively.

Members would be appointed by Parliament with the support of more than half of all lawmakers, following a public selection process conducted by the parliamentary committee responsible for finance.

Candidates would be required to have at least 10 years of experience in public finance, macroeconomics or economic research. They would also be barred from having held political office or worked in public administration during the two years preceding their appointment.

The draft law also provides for a five-member technical secretariat, state-budget financing, autonomy in the use of funds and auditing by Albania’s Supreme State Audit Institution.

The Fiscal Council would have the authority to request information from public institutions and would be required to publish its analyses, opinions and reports. Its independence and effectiveness would also be subject to an external independent assessment at least once every six years.