Analiza Posted on 2026-04-07 10:54:00

The economy grew by 950 million euros in 2025/ Construction and public administration are behind the expansion

From Xhorxhina Deda

The economy grew by 950 million euros in 2025/ Construction and public

The Albanian economy recorded a growth of 3.79% in real terms during 2025, compared to 2024, according to preliminary estimates published by INSTAT.

But, a question that naturally arises is how much does this increase translate into lek?

A simple calculation, starting from the level of Gross Domestic Product (GDP) for 2024, gives a clear idea of ​​the real extent of economic expansion, turning the abstract percentage into a tangible financial value.

GDP at current prices for 2024 was estimated at around 2.52 trillion lek, or approximately 25 billion euros. If the growth rate of 3.79% is projected above this level, it results that the Albanian economy has expanded by around 95 billion lek, or approximately 950 million euros more economic activity on an annual basis.

Despite the growth, the main challenge remains the real distribution of the benefits of this growth in the economy and in the well-being of citizens.

Although the Albanian economy has continued to grow in macroeconomic terms, the structure of this growth suggests that benefits for households may remain limited.

Although economic growth has continued, its structure shows that it has been mainly supported by construction, public spending and external demand. This means that the expansion of the economy is not relying to the same extent on household consumption and the country's productive sectors. In this sense, the weakness of agriculture and industry raises questions about the sustainability and long-term quality of this growth.

We emphasize that the above calculations are illustrative, as the nominal value of GDP is also affected by price changes.

 

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