Is it Safe to Do Business in Albania?

Albania is emerging as a promising destination for foreign investment, underscored by significant progress in trade and sector diversification. The U.S. Embassy in Albania highlights the nation's appeal, stating, "In recent years, Albania has made great strides in promoting trade and opening a variety of sectors to foreign investment. A low tax regime coupled with a strong pro-American stance makes Albania an attractive destination for U.S. investors."

The investment climate in Albania is increasingly viewed as safe and conducive to growth. While some concerns remain regarding government tender and concession processes, businesses focused in the private sector experience a generally stable environment. Foreign companies enjoy equal legal treatment as domestic ones, with the option for 100% foreign ownership.

The Albanian banking sector is another pillar of confidence, with reputable international banks like Austria's Raiffeisen Bank and Italy's Intesa Sanpaolo maintaining a presence. This, along with strong ties with the EU, ensures ease in trade and financial transactions.

Furthermore, Albania is renowned for its warm hospitality, a trait deeply ingrained in its culture and reflected in its welcoming attitude towards foreigners and foreign businesses. This hospitable nature stems from centuries-old customs, forming a fundamental part of Albanian culture. Tourists and business travelers frequently express admiration for the exceptional warmth and friendliness they experience in Albania.

A testament to this conducive business environment is the $10 million investment by Yura, a South Korean automotive component manufacturer. Having built a wire harness factory in Fier, which began operations in 2020, the company has grown to 1,700 employees. With 2022 in-country revenues of approximately $55 million and profits of nearly $5 million, Yura plans to continue to grow its local workforce in the years to come.