Economy is recovering faster than expected, says Bank of Albania – Tirana Times
The Albanian economy is recovering faster than expected. This was underlined by the Bank of Albania in its last report on the monetary situation in the country. “The economic recovery in Albania is continuing at a high pace, better than previous forecasts, thus showing higher resistance… and a better reaction to the stimulus measures,” was written in the report.
Nevertheless, according to the Bank of Albania, full economic normalization will only be possible with the end of the covid-19 pandemics, as dangers to consumption and investment remain.
According to the Bank of Albania, the recovery will be based on consumption, investment and exports. In the first three months of 2021, exports have grown tremendously. According to INSTAT, during the first three months, exports increased by 22% compared to the same period last year. At the same time, imports increased by 17%, which shows that the economy is changing. It was only in March of this year that there was a 30% increase in exports compared to the 2018-2020 average, which shows that the economy is doing better than the best of these years. .
Another important sign of recovery is the volume of goods transported by sea, air and rail. In March of this year, the figures increased by 14.5% for maritime transport, 12% for rail transport and 0.1% for air transport, compared to the 2018-2020 average.
According to the Bank of Albania, inflation will remain low at around 1.5%, well below the 3% forecast by the Bank. In April, inflation reached 1.9%, with strong growth in the food and non-alcoholic beverage category, showing the growth in consumption.
A strong boost to the economic recovery over the coming months is also expected from tourism. Albania will be open to foreign tourists, in accordance with all measures against Covid-19. Already started the first charters from Ukraine and Belarus.