Uncertainties are great for the performance of the Albanian economy, although the worst may have passed, according to BoA. The Bank of Albania (BoA) in the latest Monetary Policy Report, stated that the peak of the crisis occurred during the forced closure of the economy in the period April-June, but the negative effects will be seen in the future.

Recovery is expected to be slow, especially until consumption normalizes, something that is expected to happen in 2022. But on the other hand, there are many factors that can become an obstacle, according to BoA.

First are ranked external elements such as the prolongation of the pandemic and the severe crisis that major trading partners such as Italy are expected to suffer. This is expected to put strong pressure on Albanian exporters, who are also suffering from a historic drop in production.

Negative historical levels have also been affected by the economic sentiment indicator, which shows the trust of business and consumers in the economy. This is especially seen in private investment, which has been in free decline for a year.

With businesses in crisis and individuals reluctant to spend due to uncertainty, the economic downturn this year will only be amortized by public investment.

Meanwhile, the Bank of Albania is reluctant to make a figures forecast for the economic downturn this year, as it declared that any scenario is possible, from the rapid recovery to long-term stagnation.