TOP Analysis, Prognoses and News about Greek - Albanian Relations and the Region.
Wednesday, July 24, 2013
Business shrinks investments 24/07/2013
Recent official data show that the private businesses are investing less
in economy. The Institution of Statistics reported that the import of
machineries and appliances in June fell with 20% compared to last June.
The numbers show that this is
one of the biggest drops. In total for the first six months, the
Albanian busiensses have imported 11% less machineries and appliances
than one year ago.
This is the fifth year when private
investments have shrank. According to the International Monetary Fund,
the domestic and foreign businesses invested 20.2% of the Gross Domestic
Product in the Albanian economy.
This figure fell to 19.1% in
2012, while preliminary data for loan and import of machineries show
that it could fall in another historic minimum. On March 2013, three
months after the elections, the government approved a package of fiscal
Through a series of laws approved in series, the
Parliament excluded from taxes every machinery and equipment in order to
push businesses to invest more. Although its cost to the budget was 200
million EUR, but deepening the public finances crisis, numbers show
that this has not stopped the fast shrinking of investments.