The record evaluation of the domestic currency Lek, which harmed exporters by causing them millions of euros in losses, has "rewarded" the state budget after it decreased the foreign debt.

Public debt at the end of 2024 dropped to 54.73% of the Gross Domestic Product, from 55.8% which was the forecast. The drop in public debt to 54.73% of GDP also marks the lowest level since 2008, when the debt was 54.8% of GDP.

Official data from the statistical bulletin of the Ministry of Finance show a decrease of 17.94 points since 2015 when public debt reached its highest level, 72.67% of GDP.

Albania had a public debt of 72% in 1999, two years after the country experienced the financial collapse caused by Ponzi schemes.

Since then, the debt has been in constant decline from year to year until 2008, the year in which the debt increased for the first time in ten years.

In 2015, it reached 72.67% of GDP, when the new government led by the Socialist Party came to power and included in official statistics arrears for public works completed but unpaid.

After this moment, public debt returned to a downward trajectory. The Ministry of Finance says that progress in reducing the level of public debt has come thanks to careful fiscal management.

This careful fiscal management, combined with macroeconomic stability and structural reforms, says the Ministry of Finance, has also strengthened credibility in international markets.

The prestigious credit rating agencies, Standard & Poor’s and Moody’s, have improved their assessments of Albania, confirming the stability of the Albanian market.

In April 2024, S&P raised Albania's rating from "B+" to "BB-" and most recently, in October 2024, Moody's also raised the rating from "B1, positive" to "Ba3, stable".

Based on this report, it seems that the decline in debt has come mainly from foreign currency devaluation, as external debt taken out in foreign currency is down 3% compared to 2023, while domestic debt taken out in lek is increasing slightly.

However, these debt values ??are expected to change this year, after the issuance of a Euro 650 million Eurobond a few days ago, which could lead to an increase in external debt. Albania's public debt is mainly focused on budgetary support, the transport sector, electricity and water supply, and sanitation.