invest in albania the time is now
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Invest in ALBANIA The Time is Now!

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Invest in ALBANIA The Time is Now!. Where we are located. Location :South East Europe Area : 28,000 sq.m Population : 3.2 million Avg Age : 31 yrs Language : Albanian Climate : Mediterranean & Continental Temp Avg 6.80C-23.90C, Rainfall Annual Avg 1371.6mm. Albania.

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where we are located
Where we are located

Location:South East Europe

Area: 28,000 sq.m

Population: 3.2 million

Avg Age : 31 yrs

Language: Albanian

Climate: Mediterranean & Continental

Temp Avg 6.80C-23.90C, Rainfall Annual Avg 1371.6mm


increasing stability
Increasing Stability


  • World Trade Organization (WTO)
  • United Nations (UN)
  • International Monetary Fund (IMF)
  • European Bank for Reconstruction and Development (EBRD)
  • Stabilization Association Agreement signed on 12 June 2006 (SAA)
  • North Atlantic Treaty Organization membership to be signed (NATO) in October 2007
macroeconomic at a glance
Macroeconomic at a Glance
  • Economic growth 6%
  • GDP per capita 2.615 USD
  • Inflation 2.2%
  • Budget deficit 4.9% of GDP
  • Stable currency 124 lek = 1 Euro, 95 lek = 1 USD(2007)
  • The unemployment at the end of 2006 reached 13.9%
  • High export growth rate, with the domination of imports in Foreign Trade (75 % of total volume of Export-Import)

Albania a natural crossroad for major transit corridors in Europe

Main Government Priorities:

Pan European corridor VIII

Durrës-Kukës-Morinë road linked to corridor VII will be ended 2009

North-Central road (Hani Hotit-Shkodër-Gjirokastër-Kakavijë)

Map of Corridor VIII Varna (Bulgaria) – Durrës (Albania)

Source: Ministry of Public Affairs, Transport and Telecommunication, 2006

market access
Market Access
  • Albania is a gateway of the SEE Free Trade Area- duty free access to 55 mil. People
  • Flight time from the

Albanian capital, Tirana to major European cities approximately within 2 hours

  • Ports - The main ports are Durresi, Vlora, Shengjini and Saranda.
financial sector
Financial Sector
  • 15 Foreign Banks
    • National Commercial Bank (BKT), ProCredit Bank (Germany), Raiffeisen Bank, American Bank of Albania, Emporiki Bank, Credins, Banca Italiana di Sviluppo, Alpha Bank, International Commercial Bank, National Bank of Greece, First Investment Bank, Banka Popullore etc
  • International Financial Institutions which co-finance private and public sector projects: EBRD, IFC, WB…
  • Investment Protection:

MIGA- World Bank, OPIC, Exim Bank, OECD, SACE, etc. 33 bilateral agreement

valuable human resources
Valuable Human Resources

Multilingual Work Force

Source: UNDP in Albania

liberal fdi legal framework
Liberal FDI Legal Framework
  • No limitation on the percentage share of foreign participation in companies - 100 percent foreign ownership is possible
  • No prior government authorization is needed and no sector is closed to foreign investment.
  • Foreign investment may not be expropriated or nationalized directly or indirectly,
  • Albania\'s tax system also does not discriminate against foreign investors
  • Foreign investors have the right to expatriate all funds and contribution in kind of investments.
  • Most favorable treatment according to international agreements is also provided
tax regime
Tax Regime

Government Reforms

fdi track record

FDI by sectors of economy



Real estate, renting


ICT etc

Transportation, storage.


and communication





Wholesale and retail















Manufacturing industry





















FDI Track Record

FDI Track Record

(1995-2006) by mln USD

improving the business environment new opportunities
Improving the business environment - new opportunities
  • Remove of Administrative Barriers
        • Government Achievement, policies etc
  • Concession
        • Hydropower Plants, etc
  • Draft-Law “On Incentives”
  • Initiative “Albania 1 Euro”
  • Industrial Parks and Free Zones
  • Ongoing implementation of the FTA
        • EU & Balkans
  • SA Trade Liberalisation
        • late October- November 2006
why foreign companies should invest in albania
Political Stability and economic growth

Historical and cultural linkages

Geographical proximity

Easy access and crossroad to EU markets

Extensive language skills

Available skilled labour force

Total labour costs lower than comparable countries

Pre accession Agreement

Adaptable and flexible workforce

Lower costs of transport

Why Foreign companies should invest in Albania
investment opportunities
Investment opportunities
  • Investment Opportunities in Specific Sectors
      • Tourism and Infrastructure
      • Mining (chromium) and oil extraction: export oriented
      • Utilities: hydropower, electricity and water service sectors are still in the process of privatization
      • Manufacturing: textile and garments, shoes and leather, agro- processing
      • Financial services & Business support services : customer contact centers, expert solution centers, data entry
      • Agriculture
  • Privatization

Mineral resources as chrome, copper, nickel and coal

  • Limestone estimated to 130 million tons of marble and stone reserves
  • Oil and Gas estimated at more than 400 mln tons. Since 1928 extracted and produced 40 mln ton
  • Albania’s natural resources include its Mediterranean climate and location and unspoiled beaches, mountains, lakes, rivers, history, culture
tourism sector
Tourism Sector
  • Coastline 450 km
  • GDP Contribution 4.7 % (2005)
  • Albanian Tourism Industry generated around $1.9 billion in 2005, will grow to around $3.5 billion by 2015 *
  • 2006-2015 travel and tourism demand expected to grow in by 15.9 % per annum (in real terms) *
  • Governments New Strategy for Tourism Development

Source: * World Travel and Tourism Council

the textile and garment sector
The textile and garment sector
  • Lowest labor costs in Balkans and Eastern Europe
  • More than 100 foreign companies
  • Extensive tradition of garment production
  • Qualified and adaptable labour force
  • Application of modern technologies
  • Brand leaders
  • The most important share in Albanian exports
service sector
Service Sector
  • Service sector comprise 45.2%of GDP
  • The competitive advantages
    • Multi-lingual workforce (Italian 70%, English)
      • Availability of skilled staff (65% of the population 15 and 65 years of age)
    • Lowest labour costs in Europe
      • Compared to Eastern Europe, investors can save up to two-thirds of wage costs and services wages in Albania are typically around one-fifth the level of West European countries.
    • High quality office space
    • Advanced ICT infrastructure
      • Multiple ISPs are innovative and offer fast DSL connections. GSM service full coverage
footwear and leather
Footwear and Leather
  • Fastest growth in exports worldwide
  • 6th largest exporter of shoe uppers worldwide
  • Lowest labour costs in the Balkans and Eastern Europe
  • Over 20,000 skilled workers
  • 100 shoe and leather companies
  • Turnaround your design and export in just 24 hours
  • 55 million costumer market, next door
  • Ministry of Transport and Telecommunication released:

-List of tenders for construction of roads, bridges across the country

  • Open to international tenders are roads :

Durres –FYROM - Bulgaria which will link:

- North to major European corridors

- South to Istanbul

privatization opportunities in albania
Privatization Opportunities in Albania
    • In Energy
        • The privatization of the power distribution sector at the Albanian Electro-energetic Corporate (KESH s. a.), and generation sector
    • In Hydrocarbons
        • The privatization of ARMO sh.a. through concession form
        • The restructuring and privatization of Albpetrol s. a
        • The privatization of the Oil Mechanic Factory s. a in Kuçove
    • In Water Supply and Transportation
        • Mother Theresa International Airport is given in concession for a 20 years period to the Consortium “Airport Partners”
        • Durres Port cereal and grain terminal concession; Trainferry Terminal Concession
        • Water supply systems in Berat and Kuçove
  • Insurance
        • INSIG – the only one state owned insurance company in the market. It operates in Albania, Kosovo and in Macedonia for the non-life insurance. 39% of shares owned by IFC and EBRD