The Albanian economy is expected to grow by 5% in 2021, due to the resumption of the reconstruction process due to the consequences of the earthquake and the recovery of the global economy.
The World Bank announces that “with the slowdown in the spread of the pandemic, Albania is expected to have a gradual economic recovery of 5% in 2021 due to the resumption of the reconstruction process due to the consequences of the earthquake and the recovery of the global economy.”
The Regular Economic Report (RER) recently published by the World Bank, states that “for 2020 Albania’s economic growth is expected to contract by 8.4%”.
The report estimates that the authorities’ response was swift in taking measures against the crisis, for example, credit guarantee lines for businesses and increasing social transfers for individuals.
The WB emphasizes that, in order to accelerate economic recovery, supportive policies need to balance mitigating the impact of the pandemic and strengthening fiscal sustainability.
Regular Economic Report no. 18 for the Western Balkan countries, focuses on the response of the countries of the region to COVID-19 and examines the macroeconomic and fiscal consequences of the pandemic in the 6 countries of the region, Bosnia and Herzegovina, Kosovo, Montenegro, Northern Macedonia, Serbia and Albania .
The pandemic has plunged the region into a deep recession, bringing negative growth rates in all six countries by 2020. According to the report, the region’s economic growth is projected to be -4.8% in 2020, 1.7% lower than forecast In April.
The report states that “The second and strongest wave of the pandemic since mid-June has further hampered the region’s economic recovery. “Travel restrictions and social distancing measures have also weakened the economic growth of countries with the highest dependence on tourism.” ATA