The DUALKO project aims to modernize higher education in Albania and Kosovo by implementing Dual Higher Education (DHE) models, integrating academic learning with work-based training. It enhances university-industry collaboration, improves graduate employability, and aligns higher education with labor market needs. The project builds on best practices from Austria, Poland, and Cyprus, adapting flexible DHE frameworks to local institutional and policy contexts. Key activities include developing four adaptable DHE models, training academic staff and industry supervisors, and launching a CMS/eLearning platform for collaboration. Pilot DHE programs will be tested in selected HEIs, engaging businesses in student placements and curriculum co-design. A structured monitoring and evaluation system will assess effectiveness, with results informing policy recommendations for national adoption. The project’s long-term impact includes institutionalized DHE models, stronger university-business partnerships, and a more skilled workforce, reducing youth unemployment and brain drain. Sustainability will be ensured through policy integration, continuous capacity building, and access to future funding opportunities. By aligning with Erasmus+ priorities, DUALKO contributes to higher education reform, employability, and economic growth in the region.