FLASH NEWS
World Bank: Daycare fees in Albania reached up to 11% of the minimum wage in 2025
2026-01-16 21:42:54 / EKONOMI&SOCIALE
The World Bank report on Albania estimates that parental fees, now almost double compared to 2016 levels, represent between 4 and 11 percent of the minimum wage and contribute to the financing of ECEC (Early Childhood Education and Care).
According to the report, each Local Self-Government Unit Council sets the fees individually, with the fees mainly covering food costs based on attendance, calculated for 22 full days per month. Monthly fees range from 1,500 lek (about 15 euros) to 4,400 lek (about 44 euros), with no clear link between the level of fees and the economic development or size of the municipality.
With the minimum monthly wage in Albania set at 40,000 lekë (2025), parental fees for ECEC services represent between 4 percent and 11 percent of this amount, depending on the municipality. On average, parents pay 1,940 lekë per month, which represents approximately 5 percent of the minimum wage.
Since 2016, contributions from parental fees have almost doubled. In 2023, national contributions from parental fees reached 175 million lekë, reflecting an increase of 63 percent compared to 2016, with an average annual growth rate of 12 percent.
Within the national average, there are significant disparities in fees between municipalities. In 2023, Poliçan recorded the highest fee of 4,400 lek, a significantly higher level than that in Tirana, the capital. However, revenues from parental fees have decreased in nine municipalities (Krujë, Librazhd, Tropojë, Sarandë, Patos, Kavajë, Delvinë, Mallakastër and Kuçovë), mainly due to the decline in the number of children registered. The municipalities of Mallakastër and Korçë have experienced the most significant fee increases since 2016, with increases of 1,800 lek and 1,298 lek, respectively.
These differences highlight inequalities in the affordability of services, resulting in higher out-of-pocket costs for families in some areas. Some municipal councils subsidize childcare fees for families receiving economic assistance, while Himara offers free childcare services.
The proportion of ECEC costs covered by parental fees has fallen, increasing dependence on local government budgets. The share of total ECEC costs financed by parental fees decreased from 13.5 percent in 2016 to 9.9 percent in 2023. This change reflects an increasing dependence on municipal budgets to finance both operational costs and investment in ECEC services, the report states.
Spending on children has been increasing steadily, with an average annual increase of 5 percent, but significant disparities exist between municipalities. In 2023, spending on children increased by 41 percent (an increase of 58,237 lek) compared to 2016, reaching an annual total of 200,381 lek (approximately US$170 per month). This steady increase reflects the increasing financial commitment of local governments to ECEC services.
The report notes that there are significant disparities in spending on children across municipalities, which affect the quality and accessibility of services. In 2023, only six municipalities: Bulqizë, Kukës, Shkodër, Himarë, Mallakastër and Mat reduced spending on children compared to 2016. The largest decreases were observed in Mat (a decrease of 119,000 lek) and Mallakastër (a decrease of 117,000 lek), highlighting inconsistencies in the distribution of resources. These variations indicate that children in different municipalities benefit from different levels of service, potentially affecting the overall quality of ECEC programs.
The World Bank emphasizes that high variation in fee levels significantly impacts equity and affordability. This can lead to increased reliance on informal or unregulated forms of childcare, which may not meet quality standards.
Furthermore, unaffordable childcare services may discourage mothers from entering or remaining in the labor market, further exacerbating gender and social inequalities.
According to the World Bank, the German early childhood education and care (ECEC) system constitutes a suitable and transferable model for Albania, due to its balanced funding structure and strong regulatory mechanisms. In Germany, ECEC is financed through a combination of federal, state and municipal funds, supplemented by parental contributions scaled according to income and family circumstances. This approach ensures a fairer distribution of costs and protects low-income families from financial burdens./ ekofin.al
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