Real estate is absorbing the largest share of foreign direct investment this year as well.

According to data from the Bank of Albania, for the second quarter of this year, foreign investments in real estate in Albania reached the value of Euro 149 million, the highest ever recorded for this period of the year.

Compared to the same period last year, foreign investments in property have increased by 54%.

The progressive figures for the first half of 2025 are in the same line. Foreign Direct Investments in real estate reached the value of 253 million euros, an increase of 40% compared to the first half of 2024.

Even the progressive values ??are the highest in history for Foreign Direct Investment in property for the period. Foreign investments in real estate accounted for more than 33% of Foreign Direct Investment for the first 6 months. Their specific weight has increased further from the level of 24% a year ago.

Purchases by foreign nationals or non-residents have been an important factor in the real estate bull cycle in recent years.

The discovery of Albania as a tourist destination, lower cost of living, and relatively cheaper prices compared to competing markets have prompted many foreign citizens or Albanians living abroad to invest in a property in Albania, especially in coastal areas.

According to the survey of the Bank of Albania on the progress of the real estate market, in the first 6 months of this year, about 15% of the apartments sold were reported to have been purchased by non-resident citizens. Of these, about 71% are citizens of European Union countries.

The second sector in terms of the value of foreign direct investments in the first half of this year was that of financial activities. Foreign direct investments in this sector reached the value of Euro 147 million, with an increase of 17% compared to the first half of last year.

Especially the banking sector continues to bring significant investment flows, supported by high annual profits, but also by the increase in regulatory requirements for capital in recent years.

Meanwhile, other sectors with weight in the structure of foreign direct investments have shown a decline for the first half of this year.

Investments in the extractive industry were reported at Euro 98 million. They have decreased by 3% compared to the previous year. Flows in this sector consist mainly of reinvested profits of existing companies in the activity of extracting crude oil.

Investments in the manufacturing and energy industries have also declined, respectively by 35% and 20% less compared to a year earlier, both falling to a value of Euro 58 million.

The fourth sector in terms of foreign investment value in the first six months of 2025 was trade, with Euro 62 million for the first six months of the year. Foreign investments in this sector have increased by 29% compared to the same period last year.

According to data from the Bank of Albania, foreign direct investments in the first half of the year reached a record figure of Euro 759 million, the highest historical level ever recorded for this period of the year.

The value of foreign direct investments so far this year has increased slightly by 1% compared to the same period a year ago.