Production has declined in all sectors of the economy, except construction. The latest INSTAT statistics for the last quarter of 2024 show a significant decrease in industry, energy, and waste treatment.

In the industrial sector, net sales fell by 14.4 percent, while production in volume by 13.7 percent. Also, the number of employees and the wage bill have fallen by 6.5 percent and 1.9 percent, respectively.

In energy production, the decline was 0.8 percent in sales and 13.5 percent in volume, while employment shrank by 6 percent. The only increase was recorded in the wage bill, by 4 percent.

Meanwhile, construction is the only manufacturing sector that continues to grow. At the end of 2024, sales increased by 2.7 percent, production volume by 1.9 percent, and the number of employees by 1.8 percent. Meanwhile, the wage bill for this sector increased by 16.9 percent.

In the service sector, the situation is more positive. Wholesale and retail trade increased by 4 percent, transportation and warehousing by 12.8 percent, while bars and restaurants recorded a 12.8 percent increase in sales and 7.8 percent in employment.

The technology and information sector also increased by 8.7 percent in sales and employment, while tourism and travel agencies saw an increase in employment by 12.7 percent and the wage bill by almost 20 percent.

With manufacturing declining and services growing, the Albanian economy is moving towards a structure where the service sector becomes increasingly important.

The service sector I pushed mainly by tourism. Albania welcomed 11.7 million tourists in 2024. Albania has solidified its reputation as a top travel destination, attracting 11.7 million foreign visitors in 2024 - a 15.2% increase compared to 2023

Over the years, Albania has become a hotspot for tourists drawn by its cultural heritage and breathtaking landscapes, from mountain ranges to pristine beaches. This surge in visitors has had a transformative impact on the economy, generating Euro 3.8 billion in tourism revenues during the first nine months of 2024.

With tourism playing a pivotal role in the country’s economy, Albania will continue to invest in infrastructure, promotion, and services to maintain its upward trajectory in global travel markets.