Albania is emerging as one of Europe’s fastest-growing economies, according to new IMF projections. The country continues to outperform the continent, driven by strong tourism, low inflation and a steady decline in public debt.
The IMF expects Albania’s GDP to grow by 3.5% in 2025 and 3.6% in 2026—rates higher than many European economies currently face. Despite global uncertainty, the institution notes that Albania has maintained stability and strong momentum.
But the warning signs remain. Productivity in Albania is still weak, while labour shortages are deepening due to continuous emigration. The IMF says global risks are rising and structural reforms are essential if Albania aims to meet its EU integration goals by 2030.
The fiscal outlook, however, is positive. If reforms continue, Albania’s public debt is projected to fall to around 50% of GDP by 2030—one of the lowest levels of the last decade.
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