Foreign capital "moves" from factories, turns to services/ Foreign enterprises are expanding more into trade, accommodation and other services
The structure of foreign and joint ventures in Albania is increasingly showing a shift from manufacturing activities to services. INSTAT data show that the number of these enterprises reached 7,007, but the increase did not come from industry or construction. On the contrary, manufacturing activities fell from 1,492 to 1,440 enterprises, while service producers increased from 5,446 to 5,567. In other words, the expansion of foreign capital in Albania is increasingly relying on trade, accommodation, transport, information and other services, and less and less on the classic manufacturing sectors.
In total, trade remains the field with the largest number of foreign and joint ventures, with 1,494 businesses in 2024, but it marked a slight decrease compared to 2023. Meanwhile, the strongest growth came in "other services", where the number of enterprises increased from 2,812 to 2,895, as well as in accommodation and food services, from 311 to 339, and transport and storage, from 158 to 176. On the other hand, industry fell from 916 to 891 enterprises, construction from 501 to 481, while agriculture, forestry and fishing remained a very small segment, with only 68 enterprises at the end of 2024.
If we analyze the data by region, the EU continues to hold the main weight in the number of enterprises in most branches, but no longer as the engine of growth. The Western Balkans strengthened their presence especially in construction, trade and other services, while countries outside the EU significantly expanded their activity in trade, accommodation, information and services. So, the picture of 2024 shows an economy where foreign capital is becoming less European in the pace of expansion and more oriented towards the service sectors, while the relative weight of manufacturing activities is fading.
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