Western businesses are leaving Albania due to corruption, replaced by those of Kosovo and United Arab Emirates

INSTAT statistics table of businesses
INSTAT statistics table of foreign businesses

 Although the foreign direct investment are at record levels of around 1 billion euros a year and among the highest in the region (as a result of TAP and Devoll's investments), smaller foreign companies from western states seem to not prefer to do business in Albania.

INSTAT data showed that the number of foreign and joint ventures fell by 5.2% in 2016. From the data processed by the "Monitor" results that at least 13 states have shown decrease in the number of subjects that had business in Albania, most of them  of Western European countries.

153 Greek enterprises were closed in 2016, causing the number of state-owned entities to fall by 23% to reach 522.

The Greek enterprises ranks second in Albania relating to the number of businesses, with 9.3% of the total.

Also the Italian enterprises have been decreased, as 91 subjects are closed, with a 3.3% reduction. Italy leads the number of foreign companies, by 2662 at the end of 2016, or 47% of the total. However, in Albania, the phenomenon of the Italians that open a NIPT is widespread, but they do not carry out any action. This has led for many taxpayers to make their status as they have not declared any business activity for at least 12 months.

37 German Businesses have been closed, with a 24% decrease. There are 511 German businesses in Albania. Entrepreneurs from Germany do not prefer the Albanian market because of the high level of corruption and non-enforcement of laws.

Businesses from Canada and America have have also decreased, with respectively - 29 and -19 closed entities.

27 Turkish and 17 Chinese subjects are also closed.

The highest growth in 2016 was marked by 35, bringing the total number to 556. Entrepreneurs from Kosovo occupy the third place after Italy and Greece, with 8% of the total. Three new businesses have also been opened by Serbian companies (there are 46 in total), while there is a decrease in number for Montenegro and Macedonia (respectively -13 and -16).

After Kosovo, the biggest increase of businesses is that of United Arab Emirates, with 28 new entities, almost doubling based on the previous year.
Western businesses are leaving Albania due to corruption, replaced by those of Kosovo and United Arab Emirates Western businesses are leaving Albania due to corruption, replaced by those of Kosovo and United Arab Emirates Sunday, December 17, 2017 Rating: 5
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