Confindustria has raised concerns about the state of the Albanian economy, warning that 2027 could be accompanied by a decline in domestic production, weakened competitiveness and risks to the stability of the lek. In the document submitted to Parliament on the 2027 fiscal package, the organization highlights several key problems:
Trade deficit: It is expected to exceed 5.8 billion euros in 2026, more than 200 million euros higher than a year earlier.
Decline in production: Industry is expected to record a fifth consecutive year of decline, while agriculture is expected to register its fourth.
Construction and tourism: Difficulties are forecast for the construction sector due to the shrinking of informal sources of financing, as well as a loss of competitiveness in tourism.
Structural weaknesses: Lack of competition, monopoly and oligopoly markets, corruption, informality and institutional weakness are considered serious obstacles to economic development. Confindustria opposes some of the changes proposed in the 2027 fiscal package. It warns that the removal of the 27-lek-per-litre turnover tax on fuel may not be reflected in prices for consumers, while the increase in annual vehicle taxes could further burden citizens and businesses.
The organization also expresses concern that reducing VAT from 20% to 6% on 54 food products may not bring a real reduction in prices, but instead translate into additional profits for trading companies.
Regarding the increase in VAT from 20% to 21%, Confindustria estimates that this measure could push inflation up by 0.6–1.7%.
Among Confindustria’s main proposals are:
Creation of a National Fuel Agency to monitor prices and quality.
Setting a legal cap on fuel prices, based on the average in neighboring countries.
Limiting annual vehicle taxes to the regional average.
Applying a 17% profit tax only to businesses in closed markets, while other businesses continue at the 15% rate.
Confindustria calls for a review of fiscal policies and concrete measures to protect domestic production, increase competition and ease the burden on citizens and businesses.
Main warning: According to the organization, without intervention to improve competitiveness and production capacity, the Albanian economy risks facing deeper difficulties during 2027.