TIRANA, Sept 27 /ATA/ The exceptionally strong performance of the tourism sector, where the number of visitors grew by 30% year-on-year in the first seven months of 2023, is expected to support growth both in the short and medium term in Albania.
This is how the European Bank for Reconstruction and Development (EBRD) assesses in the analysis of economic indicators, which projects a 2.5% growth of Albania’s economy for this year.
Our country’s economy grew by 2.7% in the first quarter of 2023, driven by demand in the context of falling inflation.
The value of the lek was 12% higher in July 2023 than a year ago, reaching the highest level on record, supported by the higher number of tourists, as well as the continuous flow of remittances and direct investments.
The EBRD analyzed that the appreciation of the currency offset part of the inflationary shock, which enabled an adequate monetary policy with a rate of 3% until the end of August 2023.
The EBRD predicts that economic growth is expected to continue at an average pace of 2.5% in 2023, given the prospects of Albania’s main trading partner, Italy, and still high food inflation, which affects disposable income.
In line with the projected global recovery, economic growth is forecast to return closer to its potential, reaching 3.3% in 2024, the EBRD notes in its report.
/r.e/sm/
