Defence Minister Nufi presents 2027 draft defence budget of ALL 76.2 billion, up 10% from 2026

Defence Minister Ermal Nufi presented the Ministry of Defence’s draft budget for 2027 to the Parliamentary Committee on Internal Affairs and Defence. The proposed budget amounts to ALL 76.284 billion, representing an increase of ALL 7.5 billion, or 10%, compared to 2026.

The proposed allocation accounts for 2.6% of Gross Domestic Product (GDP) and aims to strengthen defence capabilities, modernise the Albanian Armed Forces and fulfil Albania’s international commitments within NATO.

During his presentation, Minister Nufi emphasised that the draft budget has been designed to support medium- and long-term defence development objectives, directly linking financial resources to planned capability development and the operational requirements of the Armed Forces.

Under the proposed allocation, 42.8% of the budget, approximately ALL 32.6 billion, will be directed towards current expenditure, while 57.2%, or approximately ALL 43.6 billion, is earmarked for capital expenditure and investment.

Approximately ALL 23.1 billion has been allocated for the modernisation of the Armed Forces. Planned investments include the procurement of small arms, drones and fixed-wing aircraft, the development of an integrated airspace surveillance system, the establishment of a counter-unmanned aircraft system (Counter-UAS), and investments in air defence capabilities. The modernisation of transport vehicles and communication and information systems at NATO’s Kuçova Air Base will also continue.

Military infrastructure represents another major investment priority, with approximately ALL 5.9 billion allocated for this purpose. Planned projects include the construction of supporting infrastructure for Corridor VIII, hangars for the Aviation School, the renovation of the Military Hospital, the construction of accommodation facilities at the Armed Forces Academy, the development of the military section of the new port at Porto Romano, and the revitalisation of Pashaliman Naval Base.

The investment programme also includes funding for civil emergencies and natural disaster management.

Through the proposed budget, the Ministry of Defence also aims to advance ongoing reforms, fulfil the constitutional responsibilities of the Armed Forces, meet international commitments within NATO, strengthen regional cooperation and further develop military training capabilities.

In this regard, priorities include developing capabilities in accordance with the Long-Term Development Plan, continuing to equip the Land Force with modern weaponry interoperable with NATO Allies, expanding infrastructure investments, and upgrading computer equipment and systems.

Another key objective is to increase the participation of the Albanian Armed Forces in NATO operations, missions and new Alliance initiatives. At the same time, efforts will continue to develop and maintain capabilities for national and collective defence operations, crisis response and civil emergency management, including assistance to countries in the region within the frameworks of NATO, the United Nations and the European Union.

Military personnel also remain a central priority of the draft budget, with policies aimed at supporting career advancement, improving service conditions and enhancing the professional standing and integrity of military personnel.

Strengthening transparency and accountability, alongside preventing and combating corruption within the Armed Forces, also forms part of the established objectives.

Minister Nufi underlined that Albania continues to fulfil its commitments to NATO Allies, in line with the pledges made at the Hague and Ankara Summits, while adapting defence investments to the evolving security challenges and threats facing the European continent.

Defence funding is projected to increase further over the next three years, by approximately ALL 1 billion annually.

The 2027 draft budget aims to ensure the sustainable functioning of the Albanian Armed Forces and support their ongoing transformation through strategic investments, enhanced operational readiness and the fulfilment of Albania’s obligations as a NATO member state.