Albania Approves U.S. Loan for Military Modernization Following Heated Parliamentary Debate

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RKS NEWS 4 Min Read
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Albania’s Parliament on Monday approved a $302 million loan agreement with the United States to modernize the country’s Armed Forces, following hours of heated debate between the governing majority and the opposition.

The agreement passed with 74 votes in favor during a closed-door session of the 140-seat Parliament, which was boycotted by the opposition. Speaker of Parliament Niko Peleshi said the discussions had to be held behind closed doors because the agreement contained classified information. While the opposition stated that it supports strengthening Albania’s defense capabilities, it strongly criticized the procedure used to approve the deal.

The opposition Democratic Party (PD) accused the ruling Socialist majority of violating constitutional procedures by fast-tracking the agreement without providing lawmakers with the full text of the document in advance. PD parliamentary group leader Gazment Bardhi argued that the urgency was politically motivated rather than driven by national security or U.S. interests, accusing the government of attempting to cover up years of failure to meet its defense obligations through unconstitutional procedures. The party requested an emergency review by Parliament’s Legislative Council and proposed postponing the vote until Friday to ensure full compliance with parliamentary rules.

The Albanian government had already approved the agreement in principle on June 19 under the U.S. Foreign Military Financing (FMF) program. According to the ruling Socialist Party, the loan represents a major step toward strengthening Albania’s defense capabilities while reinforcing the country’s strategic partnership with the United States.

Socialist parliamentary leader Taulant Balla described the agreement as “historic” for Albania, calling it a concrete demonstration of U.S. confidence in the country. He said the funds would be used exclusively to modernize Albania’s Armed Forces through the acquisition of military equipment and defense services that meet NATO standards. The financing will be released gradually according to the needs of the Ministry of Defense.

Under the agreement, Albania will have 48 months to activate the funds and 12 years to repay the loan. Their use will be monitored by the U.S. Defense Security Cooperation Agency (DSCA). Earlier in June, Albanian Defense Minister Ermal Nufi met with Acting DSCA Director Mary Beth Morgan in Washington to discuss expanding bilateral defense cooperation, advancing modernization projects, and increasing Albania’s contribution to NATO.

The agreement comes as Albania continues to increase its defense spending. At the end of June, the government raised the defense budget by 10.3 billion lek (approximately €105 million), bringing military expenditures to 2.6% of GDP. The increase aligns with broader NATO efforts, as the United States has urged allies to invest more in defense, while the Alliance has set a long-term target of spending up to 5% of GDP by 2035.

Outside Parliament, another anti-government protest took place during the parliamentary session. Police sealed off the streets surrounding the legislature and deployed heightened security measures. Protesters threw eggs and tomatoes at police officers, who responded by using pepper spray to disperse the crowd. One young protester was hospitalized for medical treatment, while several demonstrators, including one of the organizers, were detained by police.

The demonstrations, known as the “Flamingo Revolution,” have continued for nearly two months and are held outside Parliament whenever lawmakers convene. Originally sparked by opposition to a tourism development project in Zvërnec backed by Jared Kushner, son-in-law of U.S. President Donald Trump, the protests have evolved into a broader anti-government movement demanding environmental protection, the resignation of Prime Minister Edi Rama’s government, and the dissolution of Parliament.