Foreign Direct Investments (FDI) in Albania showed a dynamic performance during the first six months of 2025, with Turkey and Italy emerging as the leading investors. According to data released by the Bank of Albania, both countries recorded investment inflows of €89 million each, despite slight declines compared to the same period last year.
Turkish Investments
Turkish companies invested €89 million, down 39% year-on-year, yet the stock of Turkish investments rose by 12%, reaching €1.3 billion by June 2025. Turkey remains a crucial player in Albania’s economy, particularly in the financial sector, energy, extractive industries, and construction.
Italian Investments
Italy matched Turkey’s inflows with €89 million, reflecting a modest 5% decline from last year. Italian investments are primarily concentrated in services and trade activities. The Italian investment stock reached €1.77 billion, marking an 11% increase compared to mid-2024.
Dutch Investments
The Netherlands ranked third, with inflows of €85 million, up 39% compared to the same period in 2024. The stock of Dutch investments reached €2.6 billion (+10%). Much of this growth relates to Shell’s energy exploration projects and the Netherlands’ role as a hub for holding companies managing international investments.
Austrian Investments
Austria secured the fourth position with €68 million invested, marking a 36% increase. Austrian investments, totaling €862 million, are mainly focused on insurance, energy, and hospitality services.
Kosovar Investments
One of the most dynamic developments came from Kosovo, with investments totaling €63 million, a 50% increase compared to last year. The stock of Kosovar investments reached €485 million (+35%). A milestone transaction was the acquisition of Spar Albania by Viva Fresh Store, Kosovo’s largest retail chain, valued at over €36 million. Although finalized in Q3, this deal signals Kosovo’s rising influence in Albania’s retail sector.
Outlook
Despite fluctuations in new inflows, the overall stock of foreign investments in Albania continues to grow, driven not only by fresh capital but also by exchange rate changes and asset revaluations. With Turkey and Italy leading the way, and growing interest from the Netherlands, Austria, and Kosovo, Albania remains an attractive destination for regional and international investors.