TIRANA (Albania), May 3 (SeeNews) – The European Commission said on Thursday it has lowered its projection for Albania's economic growth in 2018 to 3.6 % from 3.8% forecast in November 2017.
Albania’s robust economic expansion is set to continue with private consumption as the most important growth driver, based on rising employment, higher wages and above-average consumer confidence, the European Commission said in its Spring 2018 Economic Forecast.
A very accommodative monetary policy stance supports both household spending and business investment, the Commission added.
“External trade is expected to expand relatively strongly, but to subtract from GDP growth in net terms. The current account deficit is set to increase again. The fiscal policy stance is slowly reducing the high level of public debt as a share of GDP.”
Gross fixed capital formation is likely to decelerate substantially this year as two large energy projects in the country approach their completion.
According to the Commission, Albania's economy will expand by 3.9% in 2019.
Details on Albania from the European Commission's Spring 2018 Economic Forecast follow (pct change):
|
2017 |
2018 |
2019 |
GDP growth |
3.8 |
3.6 |
3.9 |
Private consumption |
2.8 |
3.1 |
3.4 |
Public consumption |
2.5 |
3.3 |
3.2 |
Gross fixed capital formation |
7.7 |
3.8 |
6.0 |
Exports |
8.9 |
9.0 |
8.0 |
Imports |
8.2 |
6.7 |
7.0 |
Unemployment |
14.1 |
13.4 |
12.6 |
Harmonized consumer prices |
2.0 |
2.1 |
2.4 |
General govt gross debt |
70.1 |
68.5 |
66.3 |