The situation of the Albanian economy, the challenges and problems, but also what the Socialist Party promises, were discussed in the A2 Business studio on A2 CNN. In an exclusive interview, the Minister of Finance, Petrit Malaj, gave a history of economic developments since the Socialist Party took power until today. According to him, the Albanian economy has undergone significant transformation over the last decade with the increase in GDP, the decrease in unemployment, the attraction of foreign direct investment and the reform of the public sector regarding salaries.
"In 2013 the coffers were empty, the public debt was 70%, the reforms have been important for this transformation. Economic growth was 3.96% and the GDP has tripled since the SP took office in 2013, it was 9.6 billion euros in 2013, while in 2024 it was 25 billion euros during the mandate, and it is expected to reach 35 billion euros. Unemployment when we took office was 17.5%, while today it is at the lowest historical level at 8.8% and in the fourth mandate we will bring it to 6.6%. Foreign direct investments were 950 million euros, while today it is 1.6 billion, while the stock is 15.4 billion euros. The reform in the wage sector has increased wages by 26% of the average gross wage. One of the reasons we undertook the wage reform is to exert pressure on the private sector to be competitive in the labor market."
Apart from these, what are the main problems and challenges of the Albanian economy? The Minister explains that there are 4 challenges that affect all world economies, from demography, which is the main challenge, to digitalization, climatic conditions and geopolitics.
"The main challenges are the challenges that affect all world economies such as; demography, digitalization, climatic conditions and geopolitics. Among these 4 main challenges is demography that exposes the economy. The government has taken a series of measures to limit the departure of the workforce from Albania, for this reason a salary reform has been taken that has increased incomes and we are taking initiatives with the diaspora where we organize job fairs to offer Albanians to return and work in Albania where they can be better paid than in the countries they are in."
Regarding the Socialist Party's economic program for the May 11 elections, Malaj said that increasing pensions and salaries are the main points, but also reviewing tax policies.
"When we took office, the minimum wage was 157 euros, while today it is 400 and the Socialist Party has decided to increase it to 500 euros by 2026. The fiscal burden on business is lower than in the region. There will no longer be pensions below 200 euros. A review of tax policies is being carried out with two plans; the elimination of all existing exemptions and it is being seen whether these exemptions and reduced rates are in line with EU directives. An analysis of these components will be carried out and it will be decided together with the IMF whether they will remain or be removed."
(A2 Televizion)
A2 CNN Livestream
MUND TE LEXONI GJITHASHTU
