Honourable Mr. President,
Honourable Governors,
Ladies and Gentlemen,

Please allow me to express on behalf of the Albanian Government and my own, my best wishes for your election as President of IFAD and on this occasion to wish You successes in the leading of our organization to fulfil its objectives.

I would like to thank cordially Mr. Fawzi H. Al Sultan for his personal engagement and contribution he has given during as President of IFAD. I would like to confirm that the relations of cooperation between Albania and IFAD have felt the support and direct care of His Excellency Fawzi H. Al Sultan.

The Albanian Government considers IFAD as an important donor for the support of the reforms regarding the development of agriculture production, especially in the rural areas, intervening in the infrastructure of irrigation and on the support it has given to the farmers of these areas.

During this period Albania profited two loans under two projects, that of the rural development and the project of small-scale irrigation rehabilitation 2001 is the last year of the implementation of two projects.

Both projects are considered successful because they have affected in the increase of the agriculture production. The request and the needs for assistance in the mountainous and hilly areas of the country are still great because the Albanian government itself cannot afford them with only its own funds.

Agriculture is one of the main branches of the albanian economy. It provides yearly 53-55% of GDP. About 0.8 million of the active labor force are employed or self-employed in the sector of agriculture.

The agriculture and food as the main branches of the national economy consist in one of the priorities of the Albanian Government. During the last years the albanian agriculture has achieved positive results. In 2000 the overall agriculture production increased 5%, the food imports reduced 13% and the exports increased 18%.

The Albanian Government during 2000 has undertaken a number of measures to support and promote the agriculture production like investments to increase the extent the surface under water, to reduce customs tariffs of the imports of the tractors and agriculture machineries and inputs from 5-10% during 1999-2000 to 2% in 2001.

In such context, it is also included the policies for economic increase, poverty alleviation in the mountainous areas of the country, which in cooperation with other donors envisaged the improvement of the standard of living of the rural population of these areas which represent 50% of total population as well as to secure them access and alternatives not only to increase their standard of living but as well as to secure a sustainable development of the agriculture in these areas.

This session gives me the opportunity to express the appreciation of the Albanian Government for the support of IFAD for the albanian agriculture. The signing of the agreement of the Third Loan for the implementation of the rural development program is a contribution not only financial but an institutional one.

Ms. Chairman,

The relations between IFAD and Albanian Government are characterized by correctness and spirit of understanding in fulfilment of all legal obligations for a close and efficient cooperation between IFAD mission of experts, the albanian local structures of experts, as well as the rural community for the facing of challenges and the actions undertaken together.

We appreciate this Session of IFAD as tribune of open discussions to share experiences and to cooperate with the member countries.

The Albanian delegation agrees with and approves the documents presented in this meeting of the Governing Council as that of fourth replenishment financial resources, the progress report on the process reengineering programme, the Audited financial statements of IFAD, working program and budget for 2001, etc.

Appreciating the proceeding of this session as well the discussions of the Governors of the members countries, allow me, Mr. President, to wish You successes in the leading of IFAD during your 4-year mandate for the accomplishment of the objectives in rural poverty alleviation in the different member countries. On this occasion, I would like to assure You for my full support for the successful completion of IFAD projects in Albania.

Speech of the Minister of Agriculture and Food Of Albania, Mr. Lufter Xhuveli