According to a Bank of Albania survey, the average Albanian family has assets and wealth amounting to 71,357 euros, mostly attributed to real estate.

The survey divided wealth into real assets such as real estate, businesses, vehicles and valuables, and financial assets such as checking and savings accounts, pensions and debts.

This average is somewhat misleading, however, as a third of the population lives below the poverty line, while a handful own vast wealth and assets throughout the country and abroad. While the average was over 71,000 euros, the median was only 47,800 euros. This lower median demonstrates inequality in the distribution of income and wealth.

Most of the assets held by Albanians were related to real estate, accounting for 93% of the total. In this context, the main residence represents 80% with a value of approximately 43 million euros. In addition, 93% of Albanians own their homes, either fully or through a mortgage.

As far as financial assets are concerned, these account for about 7% of Albanians’ wealth. About 10% have current accounts, 7% have savings accounts and only a few have pension funds or government securities.

A recent study by the bank also revealed that Albanians have little knowledge of financial products such as savings accounts and securities.

Just over half of Albanians could identify five or more financial products, compared to 83% globally and 86% in OECD countries. Less than 40% have used a financial product in the past year, compared to a global average of just under 50%.

In terms of loans, Albanians prefer to turn to friends and family to borrow money rather than the banking system, with 33% adopting this method compared to around 43% internationally.

Only 29% of the population reported having payment products while 22% had a savings product. Some 13% had credit products while only 9% had securities products.