ALTAX \u2013 Center for Fiscal and Economic Research has published a new analytical report that documents for the first time, in an integrated manner, the evolution of active enterprises in Albania during the period 2015\u20132025. The report provides a systematic analysis of the economic structure, business productivity and employment dynamics, based on official data from INSTAT, DPT and the Bank of Albania.<\/p>\n\n\n\n
<\/p>\n\n\n\n <\/p>\n\n\n\n What does the report show?<\/strong><\/p>\n\n\n\n The analysis is based on four main dimensions: the number and dynamics of active enterprises over ten years; comparison with the growth of Gross Domestic Product (GDP); sectoral structure and size of businesses; as well as employment dynamics and average productivity per unit.<\/p>\n\n\n\n The report\u2019s central finding is clear: the Albanian economy has almost tripled its nominal value in a decade \u2013 from 10.3 billion euros in 2015 to around 25 billion euros in 2024 \u2013 while the number of active enterprises has remained relatively stable. This divergence signals a strong increase in average productivity per business unit.<\/p>\n\n\n\n \u201cAlbanian GDP more than doubled, but the number of active enterprises remained stable, a clear signal of economic consolidation and average productivity growth.\u201d<\/em><\/p>\n\n\n\n Three phases of transformation 2015\u20132025<\/strong><\/p>\n\n\n\n The report identifies three clear phases of the structural transformation of the economy:<\/p>\n\n\n\n Fragmentation (2015\u20132018)<\/strong> with an economy with a high number of small enterprises, low average productivity and a dominance of self-employment. The peak is reached in 2018 with 162,835 active enterprises.<\/p>\n\n\n\n Transition (2019\u20132021)<\/strong>, a period affected by the COVID-19 pandemic and the methodological correction of the INSTAT statistical register. The decline in the number of enterprises, to around 116,000 units in 2021, partly reflects statistical cleaning and not just real business closures.<\/p>\n\n\n\n Consolidation (2022\u20132025)<\/strong> with moderate expansion of the business base, driven by tourism, construction and urban services. GDP growth significantly exceeds the numerical expansion of enterprises, indicating productivity gains.<\/p>\n\n\n\n The structure of businesses shows the dominance of services and high fragmentation<\/strong><\/p>\n\n\n\n About 86% of active enterprises operate in the services sector, mainly trade (35%), accommodation and restaurants (14%) and professional services (8%). Manufacturing and construction account for only 13\u201315% of the number of enterprises, but generate a disproportionate share of formal employment \u2013 \u200b\u200breflecting the labor-intensive nature of these sectors.<\/p>\n\n\n\n The size structure remains highly fragmented, where 51% of enterprises have no registered employees (family self-employment), and another 37% have 1\u20134 employees. Only 6% of enterprises have 10 or more employees, but this minority generates the bulk of production and exports.<\/p>\n\n\n\n Productivity +160% within eight years<\/strong><\/p>\n\n\n\n One of the most significant findings of the report concerns the increase in average nominal productivity per business unit: from around 64,000 euros in 2015 to over 167,000 euros in 2023. This increase of over 160% within eight years reflects the expansion of tourism and high value-added services, business consolidation, economic formalization and the effect of nominal inflation.<\/p>\n\n\n\n The report emphasizes that this growth is mainly nominal and that real productivity \u2013 corrected for inflation \u2013 has more moderate dynamics. Total Factor Productivity (TFP) analysis is identified as a separate object of study.<\/p>\n\n\n\n2\u00d7<\/strong> GDP Growth 2015\u20132024<\/td> 162,835<\/strong> Active enterprises (peak 2018)<\/td> 88%<\/strong> Micro-enterprises (< 5 employees)<\/td> ~167k \u20ac<\/strong> Average GDP \/ business unit (2023)<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n