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Albania keeps interest rate unchanged as inflation declines

Published on February 5, 2025
The Bank of Albania has maintained the base interest rate at 2.75%, citing ongoing economic growth, higher employment, and declining inflation. In a press conference,...

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.


Sali Berisha acknowledges no immediate hope of U.S. ‘non grata’ removal

Published on February 5, 2025
During a press conference on Wednesday, Sali Berisha admitted that he currently has no expectations of having the U.S. ‘non grata’ designation lifted. Berisha revealed...

Why is this important: Berisha and his family were declared ‘non grata’ by the United States in May 2021, under the signature of U.S. Secretary of State Antony Blinken, citing major corruption and actions that undermined democracy. The designation has had a significant impact on Berisha’s political career and credibility, both domestically and internationally. His acknowledgement that the matter is not a priority for the U.S. administration reflects the complex and lengthy nature of diplomatic and political processes for such cases.


Albania to review pension scheme with expert consultation

Published on February 5, 2025
The Albanian government is continuing discussions with both international financial institutions and local experts regarding potential adjustments to the country’s pension system. Speaking at a...

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.


Western Balkans advance toward SEPA integration for cross-border Euro payments

Published on February 5, 2025
After the European Payments Council approved the inclusion of Albania and Montenegro in the Single Euro Payments Area (SEPA) schemes in November 2024, financial institutions...

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.


Albania and Serbia to co-host UEFA Euro U-21 Championship in 2027

Published on February 4, 2025
Despite facing significant criticism, both in Albania and Kosovo, it is now official: Albania and Serbia will co-host the 2027 UEFA European Under-21 Championship. The...

Why is this important: The joint hosting arrangement has sparked debate, given the historical tensions between Albania, Serbia, and Kosovo. Critics argue that the partnership may not yield significant benefits due to unresolved political issues. However, supporters view it as a unique opportunity to foster regional cooperation and promote Albania and Serbia on the global stage through extensive media coverage and tourism. For Albania, this marks the first time its U-21 team will compete in a major tournament as a host nation.


Kosovo’s Special Court sentences three individuals for obstruction of justice

Published on February 4, 2025
The Kosovo Specialist Chambers in The Hague have sentenced three former KLA members for obstructing justice. The court accepted a plea agreement reached earlier between...

Why is this important: The sentences mark a critical precedent in the administration of justice by the Kosovo Specialist Chambers. The guilty pleas demonstrate a new level of accountability and cooperation in the legal process for crimes tied to Kosovo’s post-war justice system.


CEC proposes simplified registration process for diaspora voters

Published on February 4, 2025
The State Election Commissioner, Ilirjan Celibashi, has proposed a streamlined process to make voter registration easier for emigrants without a formal address in their name....

Why is this important: The current system requires voters to upload proof of residence when registering to vote. However, many emigrants face difficulties because their residence is not officially documented in their name. Simplifying this process will enable more members of the diaspora to participate in elections, addressing a long-standing issue for those living in shared or undocumented housing arrangements.


OECD ranks Albania as regional leader in public administration and digital procurement

Published on February 4, 2025
A new report by the Organization for Economic Co-operation and Development (OECD) and its SIGMA program has ranked Albania as a regional leader in public...

Why is this important: Public procurement has long been a key area of concern in Albania, often plagued by corruption allegations. However, the digitization of procurement processes has increased transparency and operator trust, contributing to Albania’s recognition as a regional leader in governance. This progress underscores the importance of digital reforms in enhancing public trust and efficiency in government operations.


UK Ambassador to Albania reaffirms support for SPAK amid U.S. aid suspension

Published on February 4, 2025
UK Ambassador to Albania, Nicholas Abbott, has met with Altin Dumani, head of the Special Structure Against Corruption and Organized Crime (SPAK), to express continued...

Why is this important: The declaration of British support comes at a critical time, just days after the U.S. government announced a suspension of international aid for 90 days—a move expected to impact institutions like SPAK, which has benefited heavily from American funding. U.S. aid has been instrumental in motivating and empowering SPAK’s fight against high-level corruption over the past five years. However, the shift in U.S. priorities under the current administration signals that SPAK may now need to seek greater support from European partners, including the UK, to sustain its progress.


U.S. Envoy Richard Grenell blasts Kosovo PM ahead of elections

Published on February 3, 2025
Five days before Kosovo’s elections, U.S. Presidential Envoy for Special Missions Richard Grenell issued a strong criticism of Prime Minister Albin Kurti in X. Grenell...

Why is this important: Grenell’s remarks suggest that concerns about Kosovo facing growing isolation from its key ally under the Trump administration, are coming true. The accusations highlight long-held concerns about Kosovo’s leadership and its positions vis-à-vis dialogue with Serbia and regional stability. The condemnation, issued just before the elections, may influence both public opinion and Kosovo’s diplomatic standing.