According to several international forecasts, Albania is set for a solid economic year in 2025.
GDP growth of between 3.4 and 3.8 percent is expected, driven by a strong domestic economy, growing tourism, and ongoing infrastructure projects.
In its latest country report, the World Bank forecasts economic growth of 3.4 percent. Particular emphasis is placed on the continuing robust development in the construction and retail sectors. According to the World Bank’s assessment, inflation also remains under control, supported by the forward-looking monetary policy of the Bank of Albania.
The Vienna Institute for International Economic Studies (wiiw) is even more optimistic. In its spring analysis, the institute assumes that economic growth could reach up to 3.8 percent in the coming year. Tourism will play a decisive role in this: according to wiiw, it now accounts for around a quarter of national economic output. The rising number of international visitors, new hotel projects, and investments in the transport sector have significantly enhanced Albania’s appeal in recent years.
The European Bank for Reconstruction and Development (EBRD) also commented on the country’s economic situation. It expects growth of 3.5 percent, but sees geopolitical risks and climate uncertainties as potential brakes. At the same time, the EBRD praises the Albanian government’s progress in areas such as digitalization and public administration.
In addition, Euronews Albania reports that the prospect of possible EU accession by 2030 is already having a positive effect on the investment climate. International companies, particularly from the IT and energy sectors, are showing increasing interest in investing in Albania.
Despite the optimistic outlook, the Albanian Institute of Economic Studies warns of structural weaknesses that could slow growth in the medium term. In particular, the institute believes that the shortage of skilled workers, slow administrative processes, and deficits in vocational training will remain a challenge.
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