The European Commission said on Monday that it maintains its expectations that Albania's gross domestic product (GDP) will grow by a real 3.6% in 2025, following a 4% increase in 2024, driven by domestic demand.

The Commission also kept its 2026 economic growth projections unchanged at 3.5%, it said in its Autumn 2025 Economic Forecast.

Following a steep tourism growth in recent years, Albania is expected to record slower growth in foreign arrivals and tourism receipts, according to the report.

Investment is projected to remain strong, supported by favourable financing conditions, credit expansion, and high business confidence. Robust private consumption will be supported by an expected solid wage growth.

Given its size, Albania's economy is threatened by external risks, such as global uncertainty and geopolitical risks, whose impact can be felt indirectly through its key trading partners in the EU. Progress in EU talks represents an upside risk. Inflation is seen rising towards the central bank’s target of 3% next year.

Albania applied for EU membership in April 2009 and was granted EU candidate country status in June 2014. On Monday, the country opened its final cluster of accession negotiations.

This year's Autumn Forecast projects real GDP to grow by 1.4% in the EU in 2025 and 2026, edging up to 1.5% in 2027. The euro area is expected to mirror this trend, with real GDP projected to grow by 1.3% in 2025, 1.2% in 2026, and 1.4% in 2027. Inflation in the euro area is forecast to continue its decline, falling to 2.1% in 2025, and to hover around 2% over the forecast horizon. In the EU, inflation is set to remain marginally higher, falling to 2.2% in 2027.