competitiveness

The economic engine of Western Balkans’ is shutting down and the gap with Europe is widening

The Western Balkans has always been a region closely linked to the fate of Europe and global developments. After decades of efforts to overcome the legacy of conflicts and to integrate into European structures, the engine of economic convergence that has...

What happened with the approval of the 2026 Budget?

Yesterday’s plenary session concluded the formal process of approving the 2026 Budget, with the governing majority securing the necessary votes without difficulty and without engaging in a meaningful debate on the structural issues the budget entails.The total value of the...

Foreign Investments in Albania and Kosovo with nominal growth, but fragile transformation

Foreign Direct Investments (FDI) have been a driving force for the economic development of Albania and Kosovo over the past two decades, reflecting shared challenges of the post-communist transition, such as the lack of domestic savings and the need for...

The strength of Lek and the paradox of Albania’s Foreign Exchange market

A typical day at the foreign exchange offices in downtown Tirana on 28 October 2025 reveals more than any statistical report. While the official euro exchange rate stands at around 96.8 lek, several currency exchange offices in the physical market...

National currency should reflect the real economy

The Strengthening of the Albanian Lek in Recent Years, mainly driven by high foreign currency inflows through tourism, remittances, real estate transactions, and capital movements, has been widely interpreted as a sign of macroeconomic stability and confidence in the Albanian...

Is Albania in a competitive position with its neighbors in 2025?

Albania holds a potentially competitive position compared to its neighbors in several areas, yet it still faces numerous challenges that must be addressed to enhance its competitiveness at the regional and international levels. Despite efforts to improve its economic and political...

Albania–US Trade Relations in 2025 and the Impact of Trump Tariffs

In a world constantly oscillating between globalization and protectionist policies, the year 2025 marked a significant turning point in trade relations between Albania and the United States of America. In April of this year, the Trump administration, during its second...

The reality of minimum wage increases in Albania and the risks for businesses and citizens

Raising the minimum wage is a complex decision that must consider the balance between workers' welfare and businesses' capacity to bear it. If the minimum wage increases without being based on productivity or economic growth, it may cause issues such...

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