The Albanian economy is maintaining sustainable trajectory, 3.5% – 4% annual growth

In Washington, the Spring Meetings of the International Monetary Fund (IMF) and the World Bank Group (WB) were held.

These meetings are attended by the ministers of finance of member states, governors of central banks, senior executives of international financial institutions, as well as representatives of the academic world, business and civil society.

In the press release of the chairman of the International Financial Committee of the IMF it states that: « The world economy is at a crucial turning point. After years of increasing trade concerns, trade pressures have been suddenly escalated, promoting market instability and risks to economic growth and financial stability. But at a slower pace.

The Bank of Albania was represented at these meetings with a high -level delegation, led by Governor Gent Sejko.
On this occasion, Governor Sejko held several important meetings with well -known personalities of the international financial field, including: Executive Director for Albania at the IMF, Riccardo Ercoli; Director of the European Department at the IMF, Alfred Kammer; Assistant Director of the Monetary Department and Capital Markets, Ms. Jennifer Elliott; IMF mission Head Anke Weber, Vice President for the European and Central Asian region at WB, Antonella Bassani; Executive Director for Albania at WB, Matteo Bugamelli, Regional Director for the Western Balkans in BB, Xiaoquing Yu.

During these meetings the latest macroeconomic and financial developments in Albania, macroeconomic policies, as well as developments in the financial and banking sectors were discussed. The focus of the talks was the sustainability of economic growth, inflation control, fiscal consolidation, structural reforms and monetary policies followed by the Bank of Albania.

During the presentation of economic developments, Governor Sejko emphasized the macroeconomic stability of Albania, which continues to confirm sustainable economic growth, supported by strong internal demand and the growing sectors, especially tourism and private consumption.

The Governor underlined the significant improvement of the banking sector’s financial health, noting that banks remain well -established, liquid and lucrative, with a low level of non -performing loans. According to the data, the positive trends in financial performance and the expansion of lending testify to the confidence in the financial system and its ability to support sustainable economic growth.

Regarding inflation, Albania has managed to have a low inflation as a result of sustainable monetary policies pursued by the Bank of Albania and the improvement of financial conditions. Currently, inflation in our country is lower compared to the countries of the region and those of the European Union.

Regarding future perspectives, participants emphasized the importance of structural reforms as a key opportunity for Albania’s progress. Emphasis especially on the need to strengthen transparency, reduce the level of informality in the economy and prepare the country for the next stages of European Union integration.

The Governor praised the support and engagement of the International Monetary Fund and the World Bank in the Sustainable Economic Development of Albania and reconfirmed the Bank of Albania’s willingness to maintain the country’s financial stability and address possible challenges in the future.

Overall estimates were positive, highlighting that the Albanian economy is maintaining a steady annual growth of 3.5% – 4%, low inflation, about 2%, which is expected to turn into a target during 2026, declining public and external debt, as well as increasing foreign exchange reserves.

Also during the meetings was highly highlighted the performance of the banking system, which remains liquid, with healthy financial indicators and a low level of non -performing loans (NPL), which dropped from 25% in 2014 to 4% in 2025. The banking system continued to support the lending to the economy, with a reinforced regulatory framework and compliance with international standards.

IMF-BB representatives congratulated the Bank of Albania and the relevant authorities for the excellent work that led to Albania’s successful membership in Sepa (unique euro payment market), as well as following further steps to implement SEPA standards in practice and successfully finalizing the first transactions in October 2025. opens up new prospects for economic development and increasing international confidence in Albania.

Albania is increasingly consolidating as a success story in the region, thanks to economic reforms and careful policies pursued by the authorities and the Bank of Albania. In a global challenging period, the country has shown macroeconomic stability, sustainable growth and improvement in the business climate. One of the key factors of this success has been careful monetary policy, followed by a balanced approach by the Bank of Albania, which has managed to maintain price stability, while supporting economic growth. Interest rates have been kept at levels that stimulate lending, which has directly affected private investment and consumption.

At the end of the meetings, Governor Sejko praised the close and continuous cooperation with the IMF and the World Bank, underlining their key role in supporting Albania’s economic reforms and sustainable development.

As part of these meetings, Sejko also attended the plenary session of the International Monetary and Financial Committee of the IMF, as well as in the WB Development Committee.

The governor was also invited to a working breakfast with finance ministers and central bank governors, organized by the Director of the European Department at the IMF, Alfred Kammer, during which he presented macroeconomic developments in Albania, the main development sectors, and the potential it presents to foreign investors.