Shqipëria Posted on 2025-08-20 14:38:00

Families and businesses invested more than they saved - BoA Report: Negative balance for the private sector. The public sector, with growth in both

From Ledina Elezi

Families and businesses invested more than they saved - BoA Report: Negative

Albanian households and businesses have invested more than they have saved. According to the Bank of Albania's analysis of developments in the external sector of the economy, the private sector's savings-investment balance was estimated at -9.3% of GDP, shrinking by 3 percentage points compared to a year earlier.

This negative balance means that there is a savings deficit, meaning private investment is higher than savings. This deficit is usually financed by public savings or foreign capital.

On the other hand, the opposite has happened with the public sector. State savings and investments have grown at the same rate. Unlike the private sector, the state results in a surplus, that is, with more savings than investments.

The public sector savings-investment balance was estimated at 5.7% of Gross Domestic Product, at a level almost equal to the same quarter last year, as a result of an increase of 2 percentage points in both savings and public investment.

For the first quarter, public savings stand at 7.4% of GDP, while public investments stand at 1.7% of GDP.

At the national level, Albania invested more than it saved, while the difference was financed from abroad. The current account deficit was estimated at 3.6% of Gross Domestic Product, about 3.0 percentage points lower than in the same quarter a year earlier. The annual decline in the current account deficit as a ratio to GDP reflected an increase of about 2.8 percentage points in national savings and a decrease of 0.2 percentage points in national investment.

Live TV

Latest news
All news

Most visited