bassador William E. RYERSON
embassy:
Rruga E. Elbansanit 103, Tirane
mailing address:
PSC 59, Box 100 (A), APO AE 09624
telephone:
355-42-32875, 33520
FAX:
355-42-32222
Flag:
red with a black two-headed eagle in the center

@Albania, Economy
Overview:
An extremely poor country by European standards, Albania is making the
difficult transition to a more open-market economy. The economy
rebounded in 1993 after a severe depression accompanying the collapse
of the previous centrally planned system in 1990 and 1991.
Stabilization policies, including public sector layoffs and reduced
social services, have improved the government's fiscal situation and
reduced inflation. The recovery was spurred by the remittances of some
5% of the population which works abroad, mostly in Greece and Italy.
Foreign assistance and humanitarian aid also supported the recovery.
Most agricultural land was privatized in 1992, substantially improving
peasant incomes. Albania's limited industrial sector, now less than
one-sixth of GDP, continued to decline in 1993. A sharp fall in
chromium prices reduced hard currency receipts from the mining sector.
Large segments of the population, especially those living in urban
areas, continue to depend on humanitarian aid to meet basic food
requirements. Unemployment remains a severe problem accounting for
approximately one-fifth of the work force. Growth is expected to
continue in 1994, but could falter if Albania becomes involved in the
conflict in the former Yugoslavia, workers' remittances from Greece
are reduced, or foreign assistance declines.
National product:
GDP - purchasing power equivalent - $3.3 billion (1993 est.)
National product real growth rate:
11% (1993)
National product per capita:
$1,100 (1993 est.)
Inflation rate (consumer prices):
31% (1993 est.)
Unemployment rate:
18% (1993 est.)
Budget:
revenues:
$1.1 billion
expenditures:
$1.4 billion, including capital expenditures of $70 million (1991
est.)
Exports:
$70 million (f.o.b., 1992)
commodities:
asphalt, metals and metallic ores, electricity, crude oil, vegetables,
fruits, tobacco
partners:
Italy, The Former Yugoslav Republic of Macedonia, Germany, Greece,
Czechoslovakia, Poland, Romania, Bulgaria, Hungary
Imports:
$524 million (f.o.b., 1992)
commodities:
machinery, consumer goods, grains
partners:
Italy, The Former Yugoslav Republic of