At the height of the revolt against the Zvërnec project, when thousands of citizens have been protesting for weeks with the slogan “Albania is not for sale”, Rama’s government is putting forward a proposal that confirms citizens’ concerns, that the prime minister is not defending the investment as it will bring economic development, but that he is interested in donating another profitable business to Donald Trump’s family.
The new draft law “On the Tax on Immovable Property” proposed by the Ministry of Finance envisages a transition from taxation based on the area to taxation based on the market value of the property. The government itself admits that the objective is to increase revenues for municipalities, from around 0.28% of GDP currently, to 0.7 to 1% of GDP.
In short, the purpose of this bill is to raise more money.
But while it aims to increase property tax revenue, the same bill maintains a complete exemption for a very special category of business: four- and five-star resorts and hotels with special status and international branding.
Article 10, point “ç”, provides that these structures, together with the plot on which they are built, are exempt from property tax for a period of 10 years.
Ten years without property taxes.
It’s hard not to notice the timing of this exception. The government is preparing to approve luxury tourism projects in Zvërnec, linked to Trump’s son-in-law, Jared Kushner.
In theory, the government says these investments will bring benefits to everyone. Edi Rama himself has defended this model several times.
“Luxury resorts are the ones that bring the highest income to the economy from tourism,” he declared a few days ago.
“1 euro that enters a luxury resort is accompanied by 1.6 to 2 euros that enter the local economy of that country,” the prime minister added.
The argument is familiar: large investments produce a ripple effect. Tourists consume, businesses benefit, the economy grows, and the state benefits as well.
But here a paradox arises.
If these investments produce so much income, why should they be exempt from a tax that is being levied on ordinary citizens?
If resorts will bring more money to the economy, why is the state giving up part of the revenue it could collect from them in advance?
This question becomes even stronger when considering that this is not the first privilege given to these investments in an area where construction was previously impossible. To make this possible, the socialist majority amended the law on protected areas, giving more space to investment in the category of protected landscapes.
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This was the first privilege that was made for Zvërnec. Now the second privilege is being prepared. So, while citizens are asked to contribute more through property tax, the largest investors benefit from a special regime. This is precisely the fact that the opposition MP, Jorida Tabaku, has denounced.
“After they have poisoned the economy with the money of corruption and crime. After they have burdened Albanian families with taxes and the cost of living. After they have pushed hundreds of thousands of young people towards emigration. Today they seek to give new privileges to the same people who have benefited everything from this system,” Tabaku wrote.
This model of governance is at the heart of the debate that has erupted around Zvërnec. It is now clear that the protest is not just about a resort or a single investment, but about an economic model that discriminates against ordinary citizens in favor of big businessmen with connections to the government.
Who benefits from the economic model being built?
The government says that the whole of society benefits, but the citizens on the streets, those who demand a new Albania, think differently. And while the revolt continues with the cry “Albania is not for sale”, Rama is showing that not only does he not intend to change course, but he is further consolidating it./Lapsi.al