Why is this important: Hosting the World Law Congress in Albania is a milestone that showcases the country’s progress in democratic governance and legal reform. The event adds to a growing list of high-profile summits and conferences held in Albania. In May 2024, Tirana will host the annual meeting of European Political Community leaders, while the NATO Summit is also scheduled to take place in Albania in 2027—an unprecedented recognition for both the country and the broader region.

Why is this important: Economic growth in Albania has led to increased employment, higher wages, and improved business revenues, all of which have enhanced the financial position of both households and enterprises. Lower inflation has strengthened purchasing power and encouraged private investment. Maintaining a stable interest rate supports continued growth, but rising geopolitical tensions could impact global and regional economic conditions, making prudent monetary policy essential.

Why is this important: The pension system introduced by the Socialist government in 2014 marked an improvement compared to the previous scheme, but also created significant imbalances. Pensioners who retired before the reform receive considerably lower pensions, which are insufficient to sustain a dignified standard of living. Under the reform, the maximum pension was capped at twice the base pension, and pensions were limited to 75% of the net salary from the lowest-paid three years within the last decade. In contrast, those who retired after 2014 have their pensions calculated based on total contributions without any cap. Addressing these disparities has become a pressing issue for pension reform.

Why is this important: By joining the SEPA system, Western Balkan countries can facilitate financial transfers in euros, reduce transaction costs, and improve payment efficiency between the region and other SEPA member states. This progress reflects the EU Growth Plan’s objective of fostering socio-economic integration of the Western Balkans into the EU, particularly by granting phased access to key areas of the EU single market through regulatory alignment with EU standards.

Why is this important: Agriculture remains a very important sector of Albania’s economy and a crucial sector for state revenue. Despite government grants to support farmers, the temporary suspension of EU IPARD funds due to allegations of corruption has put the sector under significant strain. The creation of the Albanian Development Bank seeks to address these challenges by financing projects in key areas of the economy, with a special focus on revitalizing agriculture.