Albanian industry far from European innovation - Little money for scientific research, disconnection from production

Innovation remains one of the main challenges of Albanian industry. The National Industrial Strategy 2026–2030 highlights that research and development spending is only 0.30% of Gross Domestic Product, far below the European Union average of 2.24%. The target set is for this indicator to reach at least 1% of GDP by 2030.
The document also highlights that the innovation system in Albania is characterized by a strong disconnect between scientific research and the production sector. This limits technology transfer, knowledge commercialization, and the ability of enterprises to move towards higher value products.
The strategy envisages strengthening cooperation between industry and scientific research, through technology transfer centers, applied research projects and co-financing schemes. Another objective is to increase the participation of the private sector in innovation, as financing from businesses remains limited.
A strong element of the document is also the low participation in European programs. The strategy highlights that for 2026 there has been no application from Albania to Horizon Europe. This shows that the challenge is not only related to the lack of funds, but also to the capacities to prepare competitive projects and absorb international funding.
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