The Albanian economy continues to follow a stable growth and consolidation trajectory during the first half of 2026, while fiscal and macroeconomic indicators confirm its positive performance.

The statement was made by the Minister of Finance, Petrit Malaj, at the joint press conference with the Director General of Customs, Besmir Beja, and the Director General of Taxes, Ilir Binaj, where the results of fiscal administration for the first half of the year were presented.

Malaj stated that during this period, both revenues and budget expenditures increased, compared to the same period a year ago, while the economy continued to be supported by increased employment and enterprise activity.

“The Albanian economy in the first quarter of 2026 grew by 3.7%, a higher rate than the average of the Western Balkan countries and the European Union,” the minister said on Tuesday.

According to Malaj, expectations for the rest of the year remain positive. “By the end of 2026, we predict that economic growth will reach 4%, with the main contribution coming from the services sector, as well as private and public investments,” he stated.

The minister emphasized that the government aims for the GDP to reach around Euro 29 billion by the end of 2026, while the mandate objective is for the Albanian economy to reach a GDP of Euro 35 billion.

Malaj announced that foreign direct investments increased by 11.8% in the first quarter of 2026, or by Euro 404 million more than in the same period a year earlier, while the main investors are Austria, Italy, the Netherlands, Turkey, and Kosova.

He stressed that lending to the economy has expanded by over Euro 1 billion during the first five months of the year, bringing the loan stock to a record level of Euro 10.2 billion at the end of May.

According to Malaj, the turnover declared by businesses increased by 7% in the first half of the year, or by Euro 1.3 billion, while at the end of June the number of businesses registered with the Tax Administration reached 148,270, with an increase of over 12% y/o/y.

Malaj also said that Albania ranks among the countries with the lowest inflation in the Western Balkans. “In the first half of 2026, inflation was 2.7%, while the average for the Western Balkans was around 4%,” the minister declared.

Per capita income is expected to reach Euro 12,200 in 2026, up from Euro 11,350 a year earlier, or around Euro 845 more.

Regarding the labor market, Malaj announced that the unemployment rate has dropped to 8.4%, the lowest level in the Western Balkans, where the average is 10.6%.

He underlined that there has been an increase in salaries in both the public and private sectors, while the average salary for employees has reached 935 euros.