Tourism revenue continues steady growth in Albania
Tourism revenues in Albania are in a steady upward trend, reaching a record €1.95 billion in the first half of the year, a 25% increase compared to the same period last year.
Why is this significant
This growth underscores the increasing role of tourism in Albania’s economy, but also lays to rest the accusations promoted by the opposition and several experts during the summer according to which the 2024 had been a failure.
Context
According to data from the Bank of Albania, tourism revenues covered more than 40% of the trade deficit in goods. The influx of foreign tourists continues to rise, with 4.5 million visitors entering the country in the first six months of 2024, a 34% increase compared to the same period in 2023, as per INSTAT figures. Official statistics confirm that Albania has maintained a positive travel balance for years, with more foreign currency brought into the country by tourists than spent by Albanian travelers abroad. The Bank of Albania reports that the travel balance for the first half of 2024 was €740 million, reflecting a 28% improvement from the previous year.
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Bank of Albania strengthens measures for non-banking institutions
Published on September 19, 2024
Why does it matter?
The recent regulatory changes by the Bank of Albania are crucial, especially following the 2023 microcredit scandal involving companies like MCA. Borrowers were deceived through hidden fees, manipulated property auctions, and excessive interest rates, causing financial distress. By tightening controls on interest rates and loan approvals, the new regulations aim to prevent such abuses and restore public trust in non-banking institutions. The focus on transparency and stronger financial assessments will protect consumers from predatory practices, ensuring a more stable and responsible lending environment, essential for Albania’s financial system.
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Published on September 19, 2024
Why does it matter?
FDI is crucial for Albania’s long-term economic development. It injects fresh capital that helps drive infrastructure projects, supports the growth and expansion of businesses, and creates new job opportunities, boosting overall employment levels. Furthermore, a significant rise in FDI reflects increasing confidence from international investors in Albania’s economic potential, political stability, and legal framework, which can pave the way for more diversified investments and further integration into the global economy.
Government approves 4.1% pension indexation
Published on September 18, 2024
Why it matters
Despite recent wage increases for public administration and various professional categories, which have brought the average salary to 900 euros, pensions have not been adjusted for several years. Prime Minister Edi Rama has promised not only indexation but also the launch of a national discussion on increasing pensions.