Businesses see "green light" in the economy - Economic sentiment grows, while citizens still carefully calculate expenses
The Albanian economy appears to have entered 2026 with more optimism, at least on the part of businesses. According to the Bank of Albania, the Economic Sentiment Indicator, a gauge that shows how businesses and citizens view the economic situation, increased in January.
This indicator has increased by 4.2 points, remaining above the historical average. In short, the economic climate has improved and expectations are more positive.
But who is feeling this improvement the most?
Businesses, especially in the main sectors: industry, services, trade and construction. In industry there is more optimism about production and orders, while services record the strongest growth, indicating that demand and activity in this sector are doing better. Trade also reports more confidence, mainly due to better sales and employment expectations.
Construction has also seen an increase in confidence, indicating that activity in this sector continues to remain high.
Meanwhile, consumers, i.e. citizens, are not as enthusiastic as businesses. Their confidence has remained at the same level as last month. However, there is a positive signal: people are more willing to make large purchases, such as home appliances or important investments.
But on the other hand, citizens are a little more cautious when it comes to the future: expectations for their personal financial situation and the economic situation in the coming months have slightly decreased.
So, the picture is this, businesses are seeing more green light, while citizens are still carefully calculating expenses.
Whether this business optimism will translate into more jobs and more income remains to be seen in the coming months.
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