Albania’s economy will increase slightly in the two upcoming years while the poverty rate will decrease, says the World Bank. According to a report issued by the Bank, the poverty rate in Albania will decrease from 6.1% to 5.5% within two years. The report says the Albania’s economy will increased by 3.4% during 2016 and by 3.5% during 2017.
World Bank suggests that Albania should engage in reaching a stronger fiscal consolidation in the medium term period in order to stabilize the external debt. The report says the economy is under its potential due to the level of informality of the labor market which is hampering the increase of productivity and the allocation of taxes.
The slow economic increase will be affected also by the economic developments in Greece since remittances, exports towards Greece and Greek investments are expected to decrease in the two upcoming years.
News source: Shqiptarja.com
Photo credits: Etaarifa
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