Speaking at a joint press conference with IMF mission chief Anke Weber and central bank governor Gent Sejko, Finance Minister said talks with the IMF under the institution’s Article IV mission had been intensive and had produced “important conclusions” for the country’s economic and fiscal policies.

Malaj said reducing public debt remained one of the government’s top priorities and that the 2026 draft budget would be “strategic,” with a focus on pension support and public investment.

Malaj said that official data show that the country’s GDP grew 3.6% in the first half, and growth is forecast at 3.9% in 2025, private consumption rose 3.3%, total investment increased 4.1%. Finance Minister also said that unemployment fell to 8.5%, its lowest level on record, while inflation remained stable at 2.2%. He noted that tourism revenues grew 7.7% in the first half, remaining a key export driver.

Malaj said that Albanian economy is expected to grow around 4%, and raising transformative public investment to 6.5% of GDP in 2026 and above 6% in subsequent years. Public debt is projected to decline further from 54.1% at the end of 2025 to 53.6% in 2026.

He said IMF recommendations remain important for navigating economic challenges and praised Albanian institutions for what he called effective risk management and safeguarding of macroeconomic stability.

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Denaj underlined that the increase reflects stronger performance by local farmers, improved production quality, and growing international confidence in “Made in Albania” agricultural products.

“Apart from meeting rising domestic demand, Albanian agriculture continues to play a vital role in exports, contributing to the national economy and advancing the goal of a sustainable and competitive agricultural sector,” she said.

Agriculture Minister added that ongoing support for farmers and investments in modern agricultural technologies are yielding concrete results in boosting exports, and reaffirmed the government’s commitment to continuing supportive policies for the sector.

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According to official data, the country exported 265,906 metric tonnes of agricultural products from January to June 2025, up from 242,656 tonnes during the same period in 2024.

Agriculture Minister said the growth reflects the continued strengthening of the country’s agricultural sector, improvements in production standards, and the commitment of Albanian farmers to providing competitive products for international markets.

“’Made in Albania’ products are increasingly accessing elite global markets, thanks to growing trust in the quality guaranteed by local farmers and Albanian soil,” Denaj stated.

She added that this positive trend brings Albania closer to achieving its strategic goal of 1 billion euros in agricultural exports within the decade-target supported by incentive policies, infrastructure investments, and direct support for farmers.

The increase in agricultural exports is seen as a key indicator of national economic development, domestic production growth, and Albania’s deeper integration into global food supply chains.

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The growth at around  1.1 billion lek was driven mainly by the textile and footwear sector, which alone accounted for 5.4 billion lek in exports.

Meanwhile, imports from Germany declined to 29.8 billion lek from 31.3 billion in 2024.

Trade with Germany made up 7.6% of Albania’s total foreign trade volume in the six-month period, ranking it as the country’s fourth-largest trading partner.

Since 1988, Germany has invested over 1.2 billion euros in Albania through grants and loans, making it one of the country’s largest bilateral donors.

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VAT revenues from imports reached 75.9 billion lek, marking a 0.9% increase compared to the same period in 2024.

Compared to the planned figures, net VAT revenue exceeded projections by 918 million lek, or 2.8%.

Authorities reported that VAT refunds continue to support business liquidity and regular operations.Net VAT collections amounted to 33.2 billion lek, up 20.8% or 5.7 billion lek year-on-year.

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Also known as the castle of Argjiro, it stands proudly above the UNESCO-listed city of Gjirokastër, drawing both domestic and international tourists eager to explore its rich history.

The medieval Gjirokastër castle, one of the biggest in the region, is a popular destination for visitors to the museum city.

The castle, perched on a 370-meter high hilltop in the picturesque town, is mentioned for the first time as a citadel and a castle in 1336. Situated on the hilltop overlooking the city, the castle extends across the 1100-foot-high hillside, like a giant ship made of stone.

The old citadel and the domineering 4th century Gjirokastër castle and fortress granted the city the UNESCO World Heritage Site status because it’s a rare and wonderful example of a very well-preserved Ottoman town.

The castle often hosts cultural events, concerts, cultural fairs and exhibitions and the site not only offers an insight into the architectural prowess of its time but also provides stunning panoramic views of the town below and the surrounding Albanian mountains.

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The growth was driven largely by increased volumes of excise goods cleared, including 44,000 tons of fuel, 96 tons of cigarettes, 97 tons of coffee, and 4,770 tons of beer.

The General Directorate of Customs highlighted that despite macroeconomic challenges, sustained performance, procedural innovation, and record excise clearances position the institution for continued positive results in the second half of the year.

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According to the General Directorate of Taxation (DPT), the figure exceeds the government’s 2025 budget collections plan by 2.7 billion lek and is up 23.1 billion lek compared to the same period in 2024.

“These revenues reflect effective tax administration, contributing to the financing of public investments and improved services for citizens,” the DPT said in a statement on Tuesday.

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Central bank noted that bank deposits and lending rate accelerated despite appreciation of the national currency, saying lending rose 11.1% year-on-year and 7.1% compared to the end of 2023.

According to the central bank, Albania’s banking system withstood shocks from both the internal and external environments, while capitalization remain stable and profits kept improving at satisfactory rate.

Albanian economy rose 3.6% year-on-year in the end of the first quarter of 2024, according to the central bank.

“Positive economic developments were driven by increased consumption and investments, as well as the performance of tourism sector. In the meantime, economic growth was associated with encouraging improvements in the labour market, with reductions in unemployment and increases in salaries,” Bank of Albania said.

The Bank’s fiscal policy kept the consolidating trend amid significant increase in fiscal revenue collections. Inflationary pressure kept declining and the inflation rate fell below the Bank’s 3% target and the key interest rate was cut accordingly.

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According to INSTAT, imports to Albania slightly rose 0.3% year-on-year to 440 billion lek in the first half of the year.

The country’s trade deficit expanded 17.9% year-on-year to 241 billion lek.

According to the Report, Albania’s annual fall in exports in the first half of the year was mostly influenced by decreases in the textile and footwear by 5.4%, minerals, fuel and electricity by 5.2%, and the construction materials and metals group by 2.2%, etc.

Growth in imports was mainly driven by machinery, equipment and spare parts group with an increase by 2.8%, food, beverages and tobacco up by 1.3%.

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